Biodiversity: the Next Investor Demand for Companies, New Study by Leaders Arena
Leaders Arena’s latest study on biodiversity reporting finds that corporate disclosures fall short of investor expectations. The study finds that just 32% of large listed companies are disclosing on biodiversity initiatives within their business operations despite institutional investors managing $7tn in equity assets already considering this topic in their investment process.
Given the mounting evidence of the systemic risks associated with biodiversity-loss recently highlighted by the Dasgupta Review on the Economics of Biodiversity commissioned by the UK government, a growing number of investors are considering this topic within their investment process.
Leaders Arena’s research finds that investors managing over $7tn in equity assets consider biodiversity issues to some extent. Some of these high-profile investors include Allianz Global Investors, BNP Paribas Asset Management, California Public Employees’ Retirement System and Norges Bank Investment Management among many others.
The study looks at the top 100 largest US and European companies’ sustainability and integrated reports. It finds that just 32% of companies are disclosing on biodiversity initiatives within their business operations such as considering the biodiversity impacts of their supply chain or business practices.
Using the Sustainability Accounting Standards Board’s (SASB) metrics as a guide, they found gaps within the industries where biodiversity has been identified as material. The study follows SASB’s industry classifications to highlight disclosure gaps in industries such as Transportation and Services.
“With biodiversity rising as a priority for a growing number of investors, our study can help companies consider improving their disclosures and ensuring this topic is part of their overall ESG equity story,” says Miguel Santisteve, Leaders Arena’s CEO.
Link to the Biodiversity Reporting Study: www.leadersarena.global/biodiversity
About Leaders Arena
Leaders Arena is a global independent ESG advisory firm with offices in the UK and US. It offers over 30+ years of direct Environmental, Social and Governance (ESG), Investor Relations, Corporate Governance, and Sustainability experience to help companies and private equity firms scale up their ESG strategy and communications.
Europe & APAC
Miguel Santisteve, CEO
US & Canada
Heather Keough, Head of US and Canada, Senior ESG Consultant
+44 20 3884 0310
Heather Keough, Senior ESG Consultant: firstname.lastname@example.org +1 517 325 2310