With the global population estimated to peak at 9 billion by 2050, there is a growing need to maximize efforts to protect natural ecosystems. At the same time, there is insufficient investment in conservation.
NatureVest will work to close the funding gap that exists by creating new opportunities to invest private and philanthropic capital in conservation projects that deliver financial returns and clear environmental benefits.
The Nature Conservancy today announced it has closed on the purchase of 117,152 acres of forests, rivers and wildlife habitat in the Lower Blackfoot River watershed of Montana. The land was purchased from Plum Creek for $85 million.
Perhaps the greatest promise lies at the intersection of conservation and finance. The Nature Conservancy has been pioneering conservation-related impact investment. Its Conservation Note (a $25,000-and-up, 1- to 5-year bond) quickly sold out. In April, the organisation joined with JPMorgan Chase to launch NatureVest, a division that will deploy $1 billion in conservation-minded capital over the coming three years. On November 6th, it released a report estimating that conservation investing is seeing 26% growth annually and will hit $5.6bn by 2018.
A new cross-sector study examines whether impact investing can make a difference to global conservation efforts.
The report details the landscape of conservation impact investing for the first time, and shows that investments in this space are expected to more than triple over the next five years (2014-2018). However, the report also found a substantial amount of potential private capital has not been deployed, demonstrating a need for a significantly increased number of risk adjusted investment opportunities. View the Report | Read the announcement