CACEIS has launched a biodiversity and nature risk guide in partnership with the Zoological Society of London (ZSL) as part of its CACEIS Academy initiative.
The guide is designed to inform pension trustees on the financial consequences that biodiversity and nature-related risks can have on pension scheme investments, and outlines key definitions and concepts.
CACEIS aims to help trustees develop their own policies around these issues, with the guide taken as a starting point. As such, suggested risk reduction strategies are offered alongside questions that trustees can pose to their asset managers.
In its foreword to the guide, ZSL emphasises the role of the financial sector in mitigating the biodiversity crisis. The topic’s importance is also acknowledged by the World Economic Forum, whose 2023 Risk Report cited biodiversity and ecosystem collapse as the fourth most significant global risk over the next decade.
Pat Sharman, UK country managing director at CACEIS, says: "We are committed to delivering educational resources for pension schemes and trustees. While climate change has received significant attention, it is vital to acknowledge the equally important risk of biodiversity loss and nature degradation. We have partnered with the Zoological Society of London to delve deeper into the concepts of biodiversity risk and provide trustees with actionable guidance."
