The Network of Central Banks and Supervisors for Greening the Financial System  Source: NGFS website  Our involvement has acted as a catalyst to use our role as a kaitiaki and financial regulator to challenge banks and insurance companies about how they are managing risks from climate change.
Fair value accounting for securities, whether in the income statement or in disclosures, relies on key assumptions, modeling techniques and judgment. For example, modeling techniques are commonly used in valuing mortgage-backed securities. The present value of the estimated future net cash flows attempts to anticipate prepayments of mortgages due to forecasted changes in interest rates.