Is your company meeting investor demands on biodiversity reporting?
A must-read study highlighting reporting opportunities in biodiversity disclosures of the world's largest companies.
Global investors are increasingly aware of the impacts and risks associated with biodiversity loss and are ramping up engagements with companies to address this growing issue. Our research seeks to identify the degree to which companies are addressing these concerns within their sustainability reporting.
Biodiversity loss has been highlighted by the World Economic Forum as the third highest existential long-term risk to businesses. As investors are becoming increasingly aware and vocal on the topic of biodiversity, companies must seek to address these concerns in their reporting. In particular, companies should highlight how they address biodiversity-related risks and what initiatives they are taking to help promote biodiversity within and beyond their business operations.
Many companies find it challenging to keep up with the diverse and evolving investor expectations on a growing number of material topics such as biodiversity. This study aims to help Sustainability Teams and Investor Relations Officers address gaps in their biodiversity disclosures and make them aware of the investor focus on this topic. Specifically, our research finds that there are growing investor expectations for data and quality reporting on biodiversity impacts, risks and initiatives.
In our 2021 study, we uncover the extent to which companies are reporting on biodiversity and how they are addressing these issues. The study focuses on the sustainability disclosures of the top 50 largest companies in the US and top 50 in Europe.
Key takeaways from this study:
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.
Both US & European companies underreport on the topic of biodiversity, however, a clear regional divide exists. There is a clear gap between reporting expectations and quality.
Companies most frequently report on external biodiversity-related projects than they do on taking internal action on biodiversity.
Download our 2021 Biodiversity Reporting Study.
If you want to learn more, watch our 30 minute webinar presentation here:
For the UK and Europe
For US and Canada