1.0FDEF FRhttps://www.uni.lu/fdef-frFDEF FRhttps://www.uni.lu/fdef-frrich600338<blockquote class="wp-embedded-content" data-secret="bqSqXRvJGj"><a href="https://www.uni.lu/fdef-fr/events/carbon-premium-around-the-world/">Carbon Premium Around the World</a></blockquote><iframe sandbox="allow-scripts" security="restricted" src="https://www.uni.lu/fdef-fr/events/carbon-premium-around-the-world/embed/#?secret=bqSqXRvJGj" width="600" height="338" title="« Carbon Premium Around the World » — FDEF FR" data-secret="bqSqXRvJGj" frameborder="0" marginwidth="0" marginheight="0" scrolling="no" class="wp-embedded-content"></iframe><script> /*! This file is auto-generated */ !function(c,d){"use strict";var e=!1,o=!1;if(d.querySelector)if(c.addEventListener)e=!0;if(c.wp=c.wp||{},c.wp.receiveEmbedMessage);else if(c.wp.receiveEmbedMessage=function(e){var t=e.data;if(!t);else if(!(t.secret||t.message||t.value));else if(/[^a-zA-Z0-9]/.test(t.secret));else{for(var r,s,a,i=d.querySelectorAll('iframe[data-secret="'+t.secret+'"]'),n=d.querySelectorAll('blockquote[data-secret="'+t.secret+'"]'),o=new RegExp("^https?:$","i"),l=0;l<n.length;l++)n[l].style.display="none";for(l=0;l<i.length;l++)if(r=i[l],e.source!==r.contentWindow);else{if(r.removeAttribute("style"),"height"===t.message){if(1e3<(s=parseInt(t.value,10)))s=1e3;else if(~~s<200)s=200;r.height=s}if("link"===t.message)if(s=d.createElement("a"),a=d.createElement("a"),s.href=r.getAttribute("src"),a.href=t.value,!o.test(a.protocol));else if(a.host===s.host)if(d.activeElement===r)c.top.location.href=t.value}}},e)c.addEventListener("message",c.wp.receiveEmbedMessage,!1),d.addEventListener("DOMContentLoaded",t,!1),c.addEventListener("load",t,!1);function t(){if(o);else{o=!0;for(var e,t,r,s=-1!==navigator.appVersion.indexOf("MSIE 10"),a=!!navigator.userAgent.match(/Trident.*rv:11\./),i=d.querySelectorAll("iframe.wp-embedded-content"),n=0;n<i.length;n++){if(!(r=(t=i[n]).getAttribute("data-secret")))r=Math.random().toString(36).substr(2,10),t.src+="#?secret="+r,t.setAttribute("data-secret",r);if(s||a)(e=t.cloneNode(!0)).removeAttribute("security"),t.parentNode.replaceChild(e,t);t.contentWindow.postMessage({message:"ready",secret:r},"*")}}}}(window,document); </script> https://www.uni.lu/wp-content/uploads/sites/18/2026/03/03111953/FDEF_SM-Profile_1600x1600px-scaled.jpg25602560AbstractThis paper explores how the carbon premium varies around the world. We estimate the stock returnpremium associated with carbon emissions at the firm level in a cross-section of over 14,400 firms in 77countries. We find that there is a widespread carbon premium—higher stock returns for companies with highercarbon emissions—in all sectors over three continents, Asia, Europe, and North America. Stock returns areaffected by both direct and indirect emissions through the supply chain. In addition, the carbon premium hasbeen rising in recent years. We also find widespread divestment based on carbon emissions by institutionalinvestors around the world, but institutional investors tend to focus their divestment on foreign companies.