# Professors Robert Engle and Johannes Stroebel's joint research on hedging climate change news is spotlighted

1 Faculty News April 8, 2019 ![Harvard Law Blog logo](/sites/default/files/styles/246w/public/assets/images/con_032744.jpg?itok=-LqP73k7)>

Exceprt from the [Harvard Law blog](https://corpgov.law.harvard.edu/2019/04/08/hedging-climate-news/) -- "In our proposed approach, rather than buying a security that directly pays off in the event of a future climate disaster, we construct portfolios that have short-term returns that hedge news about climate change over the holding period. By hedging, period by period, the innovations in news about long-run climate change, an investor can ultimately hedge her long-run exposure to climate risk."

[Read more](https://corpgov.law.harvard.edu/2019/04/08/hedging-climate-news/)