This Toronto Centre note covers climate-related risks, how the financial sector should respond, and what supervisors can do. It assists supervisors to: i) understand climate-related risks most relevant to the financial sector, including transition and physical risks; ii) understand ways in which organizations operating in the financial sector might respond to these risks, through their governance, strategies, risk management, metrics and targets, and disclosures; and iii) identify steps that financial sector supervisors can take in response to climate change.