Investors and Biodiversity

Biodiversity loss is a systemic risk and the planet is being damaged at an unprecedented rate. The Covid-19 pandemic’s origins can be traced back to habitat destruction and illegal wildlife trade. Combining this lesson learnt with growing evidence of investors taking up their responsibility to the environment seriously, it is time that institutional investors make strong motions to curb the loss of biodiversity. Hopefully, their actions and decisions will also look to prevent the pathways biodiversity has been negatively impacted in the past.

The environment is the foundation of all life on earth. It would do us a world of good to be able to understand that something that is essential to our survival should not have to sold and marketed to the public with terms such as ‘ecosystem services’ and ‘natural capital’.

Investors have the hold and capability of engaging policy makers on reforming incentives, including subsidies, to activities that drive biodiversity loss. It is imperative for those in finance learn to address and prioritize biodiversity loss at the sector, economic and global level. Actively providing capital and funding business models which are avoiding and reducing biodiversity loss and increase opportunities for positive outcomes on the ground, including restoration.

It is important address some of the underlying bottlenecks that prevent action on biodiversity. There is a need to promote engagement with green funds, benevolent bonds, certification schemes to integrate biodiversity into existing standardised testing. The need to test new tools and measurement approaches to understand how investments shape biodiversity outcomes is an often overlooked initiative.

Read more at: https://www.unpri.org/sustainability-issues/environmental-social-and-governance-issues/environmental-issues/biodiversity