Schroders Plan for Nature

PLAN FOR NATURE

INNOVATION

Offering investment solutions to protect and restore nature and deliver long-term returns

Nature loss has the capacity to threaten the durability of long-term portfolio returns. So, new investment vehicles are needed to direct capital to companies or projects with the potential to positively impact nature by protecting and restoring nature. A growing number of our clients want to invest in both public and private companies that are driving the transition towards systems that will meet the demands of a growing population, while reducing the negative impact on our natural ecosystems. At the same time, new nature-based investment products should help support a consistent pipeline of good quality, credible projects for investment – and the partnerships needed to source and deliver them. This is a significant opportunity for carbon sequestration or capture – a key part of building towards net zero portfolios for clients. Furthermore, this investment opportunity exists on a mammoth scale. Research estimates that US $722-967 billion is required each year to reverse the decline in biodiversity by 2030. 12 Financial institutions have a crucial role to play in filling this gap, and can tap into vast opportunities across existing industries and new sectors.

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12 KPMG Demystifying Natural Capital and Biodiversity, December 2021

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