The Globe and Mail reports in its Friday, March 27, edition that a Schulich School of Business study found that carbon-intensive industries face higher bond interest rates than lower-emission sectors. The Globe's Jameson Berkow writes that the study, partially funded by Investors for Paris Compliance (I4PC), also found that, once other factors such as credit ratings and bond maturity were controlled for, rates were not notably different across individual companies in carbon-intensive industries such as energy. I4PC says treating all players within a given sector as environmentally equivalent could lead to an overallocation of capital to higher-emitting firms, implying that lower-emitting firms receive little benefit for their efforts. I4PC says: "Inadequate disclosure of climate-related risks can leave the bond market exposed to systemic vulnerabilities with investors unable to reliably price transition risk. This creates the potential for abrupt shocks across the corporate bond market when climate-related risks materialize." CIBC chair in sustainable finance Olaf Weber says applying sector-wide assumptions to all energy producers limits the incentive those companies have to improve their environmental performance.