20 Sep 2023

EU activates research centers on ESG risks to support market, banking, and insurance regulators

Ca’ Foscari University of Venice to coordinate the project with the Leibniz Institute SAFE and the Vienna University of Economics and Business

Supporting the financial system in the transition to sustainability also means training people working in the bodies charged with overseeing the market, banking, and insurance, making sure they are always up to date. For this, the European Commission has entrusted a pool of research centers specializing in ESG (environmental, social, and governance) risks and led by Ca’ Foscari University Venice to assist eleven supervisory authorities established in ten European countries.

The project, ESG-UPTAKE, was launched in Venice, on the eve of the CREDIT international conference on financial risks. ESG-UPTAKE will run for three years, with four-million-euro funding by the European Union via the Technical Support Instrument. Ca’ Foscari leads a partnership that includes the Leibniz Institute for Financial Research (SAFE) in Frankfurt and the Vienna University of Economics and Business (WU).

Putting national supervisors in the best position to manage ESG risks

“The goal of the project is to strengthen the capacity of European states’ supervisory bodies to monitor and address ESG risks in the financial sector,” explains Monica Billio, Professor of Econometrics at Ca’ Foscari, SAFE Fellow and project coordinator. “We will also build on best practices in reporting systems, data management, and methodologies. Support from research institutions will put national supervisors in the best position to manage ESG risks, including those related to climate change, and to take appropriate control measures.”

The Frankfurt and Vienna project units will be coordinated by SAFE Professor Loriana Pelizzon and WU economist Arthur Schweitzer, respectively, in cooperation with Irene Monasterolo, Professor of Finance at Utrecht University. 

For Italy, the authorities that will benefit from the support will be Consob (Commissione Nazionale per le Società e la Borsa), the market regulator, and Ivass (Istituto per la Vigilanza sulle Assicurazioni), responsible for the insurance sector. Other countries and authorities involved, in addition to Italy with Consob and Ivass, are: Bulgaria (FSC), Croatia (HNB), Cyprus (CYSEC), Finland (FINFSA), Greece (HCMC), Ireland (CBI), Latvia (CBL), Romania (NBR), and Slovenia (BSI).

Scientific Contact

Prof. Loriana Pelizzon, Ph.D.

Deputy Scientific Director, Director Research Department "Financial Markets"