The Globe and Mail reports in its Friday edition that a York University study finds carbon-intensive industries pay significantly higher interest rates on their bonds than sectors with comparably lower emissions. 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. In a letter to the Canadian Securities Administrators, I4PC warned treating all players within a given sector to be environmentally the same could result in overallocation of capital to higher-emitting companies -- with the implication that lower-emitting firms get little benefit for their actions. The letter urged Canada's market watchdogs to resume working on mandatory climate disclosure rules. "Inadequate disclosure of climate-related risks can leave the bond market exposed to systemic vulnerabilities with investors unable to reliably price transition risk," I4PC's Matt Price wrote. "This creates the potential for abrupt shocks across the corporate bond market when climate-related risks materialize."