Research by global climate and nature investment and advisory firm Pollination has found that the majority of 557 surveyed investment firms plan to increase their investments in nature. Seventy-five percent of investors said that some or all nature-related investments can be classified as an asset class, with 23% saying that they are motivated firstly by improving environmental outcomes. Investors in the US are leading the charge, according to the report, which noted 87% of US-based firms are set to increase investments in nature, despite increasing polarisation in the market in the face of the anti-ESG movement. However, opinions varied when it came to motivations and perceptions of risk through to expectations of returns, which Pollination said highlights the “preliminary nature of work in the space”. Martijn Wilder, Pollination’s Co-Founder and CEO, said: “Investing in the natural world is investing in the resilience of the economy. It’s clear that investors across the globe are starting to recognise the potential nature-related investments have for producing returns as well as reducing systemic risk, alongside protecting and improving the natural environment. But we need much more: a significant and sustainable build in capability across capital markets is needed, including skills and human capital, information infrastructure an new models and norms.” The survey involved investors from the UK, US, Australia, France, Singapore, and Japan.
