New policy report on creating deforestation-free portfolios

We congratulate our team member Marc Bohnet for his contribution to a new policy report on creating deforestation-free portfolios, in collaboration with our partner, Climate & Company and their partners Global Canopy and AP2.

The resource-intensive nature of using available data make due diligence regarding deforestation very challenging for financial institutions. The newly developed guide aims to simplify this process by providing:

💡 A practical, step-by-step approach to making deforestation-related data actionable and due diligence more efficient.

💡 An online code repository with an open-source dataset that financial institutions can customize based on their portfolio needs.

💡 A case study assessing the deforestation exposure of MSCI ACWI constituents

View the press release here.

Download the full guide for financial institutions. 

Access the open-source online code repository on GitHub.

Beyond due diligence, Marc Bohnet, Tycho Tax and Philip Fliegel are currently working on a paper on companies deforestation exposure and its implications for financial markets. The results indicate that investor expectations shift in recent year, taking into account risks stemming from companies’ deforestation exposure. Furthermore, companies highly exposed to deforestation suffer stock return losses following more stringent deforestation regulations in the EU.

We extend our gratitude to all the co-authors and contributors of the policy report: Malte Hessenius, Marc-Philipp Bohnet, Tycho Tax, Åsa Mossberg, Fiona P., Helen Bellfield, Pei Chi Wong, and Ingmar Juergens.