Our nature and biodiversity analytics tool for investors has now launched.
The AI and data-driven platform provides specialist insights on the nature footprint, risks and impacts of asset-level investment decisions.
Features:
The initial dataset tracks nature and biodiversity risk associated with the largest 100 European companies, with the US and broader developed markets to be added in the second quarter of 2022.
The NatureAlpha platform utilises curated datasets from the world’s most authoritative scientific, regulatory, corporate and governmental sources.
Risk management:
The platform assesses a company or an industry’s exposure to multiple aspects of risk. This includes internationally agreed goals, as detailed in the Convention for Biodiversity and IUCN, regulation, reputation, and risks generated from geographical proximity to areas of key biodiversity.
For example, some of the data incorporated into the biodiversity risk framework comprises unmanaged risk due to a company’s lack of policy, disclosures or targets and reporting standards, incorporating those recorded by the UN and the CDP.
Nature Footprint Table:
The Nature Footprint Table provides year-on-year intelligence on in-situ nature and biodiversity status and historical losses, including satellite-generated insights.
Nature & Biodiversity metrics:
Twenty-four nature and biodiversity metrics are incorporated on the platform.
It starts with building blocks such as the proximity of a company’s directly owned sites to key biodiversity locations and its revenue exposure to products and services, all of which contribute to analysis models.
The nature metrics provided include how much a company’s economic activities impact natural capital, in addition to activities that hinder incentives, biodiversity and ecosystem restoration and resilience, alongside further datasets.
Why biodiversity and nature-related data?
The platform is one of the world’s very first dedicated platforms to help quantify the exposure of companies and industries to nature.
It brings together big data and AI to merge the right datasets with mathematical and scientific modelling to deliver real, data-driven, quantitative and actionable insights for asset owners and asset managers.
The platform fills significant data gaps that are hindering the integration of nature-related risk in ESG investment strategies (Taskforce On Nature Related Disclosures 2022).
According to the World Economic Forum, biodiversity loss is the third biggest long-term global risk (WEF 2021). It is crucial that asset managers are able to factor it into their risk management strategy and wider decision making.
Contact us to find out more about how you can include Nature Alpha’s science-based biodiversity analytics at scale.
