The Adviser Issue 9 | Page 70

MARKETS & INVESTING

BIODIVERSITY : FINANCING NATURE

Ketan Patel Fund Manager EdenTree

Biodiversity is at the heart of nature , affecting everything human beings need to survive and thrive : food , water , medicine and shelter . Over half the world ’ s GDP ($ 43 trillion ) is dependent on the delicate interplay between species and ecosystems , and it is estimated that the decline in biodiversity costs the global economy more than $ 5 trillion annually . The current rate of biodiversity consumption is equivalent to 1.6 Planet Earths , leading to millions of species of plants and animals at risk of extinction . The relationship between biodiversity and human existence is highlighted in the World Economic Forum Global Risk Report to the UN Sustainable Development Goals ( SDGs ) where the decline in natural resources places at risk 35 out of 44 targets of the SDGs relating to poverty , hunger , health , water , climate , oceans and land .

Measuring and reporting on biodiversity The lack of a framework for reporting on biodiversity remains a key challenge for both companies and investors . The methodology around measuring carbon emissions has come a long way in
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