Investors in global stock markets should pay more attention to the overlooked economic effects of extreme weather events , which have cost the world $ 1.1tn since 2000 and $ 500bn in the past five years . State Street Global 's Michael Arone said the destruction of wealth brought about by weather - related disasters , as well as the drop in productivity that occurs during hot weather , hamper economic growth . Extreme weather has beset the United States and Europe, with record heat waves in France and Spain, massive flooding and tornadoes in the American Midwest and an impending tropical storm barreling towards New Orleans’ already flooded streets. The Commodity Futures Trading Commission recently announced it would set up a committee to " identify and examine climate change - related financial and economic risks " .
Investors in global stock markets should pay more attention to the overlooked economic effects of extreme weather events , which have cost the world $ 1.1tn since 2000 and $ 500bn in the past five years . State Street Global 's Michael Arone said the destruction of wealth brought about by weather - related disasters , as well as the drop in productivity that occurs during hot weather , hamper economic growth . The Commodity Futures Trading Commission recently announced it would set up a committee to " identify and examine climate change - related financial and economic risks " .