On the occasion of the NYC Climate Week, the Taskforce on Nature-Related Disclosure (TNFD) unveiled their Recommendations on nature-related issues. As a member of the TNFD, Mirova promptly announces its intention to adopt these Recommendations and begin implementation into reporting process.

Mirova commits to implement the TNFD’s Recommendations
Since 2019, Mirova has been an active member of the working groups that prefigured the creation of a TNFD, showing steadfast support for this initiative. Over the last two years, as member of the Taskforce, Mirova has actively contributed by channeling the views of impact-oriented investors. More broadly, it gathered globally financial institutions’ views on the most relevant biodiversity impact data companies should disclose in order to help investors select those whose activity leads to the most positive outcome.

The TNFD Recommendations are a key milestone in the relationship between nature, business and financial capital, positioning nature risk alongside financial, operational and climate risk and helping to shift capital flows to nature-positive outcomes.

Mirova is committed to contribute meaningfully to the achievement of the Convention on Biological Diversity’s overarching objective – the conservation of biological diversity, the sustainable use of its components and the fair and equitable sharing of the benefits arising out of the utilization of genetic resources.

Mathilde Dufour, Head of Sustainability Research at Mirova, comments: “Despite the risks and opportunities, most corporates, investors, lenders and insurers are inadequately accounting for nature-related dependencies, impacts, risks and opportunities. The TNFD’s guidance and disclosure recommendations provide tools to help businesses and financial players identify, assess and manage these issues. We are proud to be an early adopter of these recommendations, as we believe it will help us better assess risk and opportunities when it comes to investing in nature positive projects, but also better report our impact to our clients and stakeholders.”

As a committed, mission-driven asset manager, Mirova takes part in various initiatives, complementing TNFD’s work, that aim to develop tools, frameworks, policies, guidelines to support a transition of our economy to a more sustainable model. Contributing to this process in which public and private players work together to develop tools to promote nature conservation is a key pillar of our biodiversity roadmap.

TNFD Recommendations: a key milestone for nature
The TNFD is an international initiative that aims to develop a framework for organisations to report on nature-related risks, whose stated objective is to help redirect global financial flows towards businesses with positive impact. Indeed, contrary to climate reporting in which you can measure and disclose CO2 emissions, there is no consensus over biodiversity metrics. While the degradation of nature constitutes a major risk to businesses, the TNFD framework aims to enable companies and financial institutions integrating nature into their decisions.

The release of the TNFD’s 14 Disclosure Recommendations and guidance comes at a critical time, with rapidly growing interest across business and finance globally on nature and biodiversity issues. Policymakers, regulators, asset owners, asset managers and leading global companies are all increasing their focus on nature-related risk management and the necessity of mobilising private sector engagement and finance to tackle nature loss and scale-up nature-based solutions.

The publication of 14 recommended disclosures and a suite of additional implementation guidance marks the culmination of a two-year consultative development process, including pilot testing by over 200 companies and financial institutions.

Recognising that different approaches to materiality now exist across jurisdictions today, notably with the introduction of a double materiality approach across the European Union from 2024, the TNFD Recommendations have been designed to accommodate, and work within, these different approaches.

The Recommendations are consistent with existing and emerging reporting standards of the International Financial Reporting Standards (IFRS) and the Global Reporting Initiative (GRI), and are aligned with the global policy goals and targets of the Kunming-Montreal Global Biodiversity Framework.
Mirova is an affiliate of Natixis Investment Managers.
Portfolio management company - French Public Limited liability company
Regulated by AMF under n°GP 02-014
RCS Paris n°394 648 216
59, Avenue Pierre Mendes France – 75013 – Paris.

Natixis Investment Managers
Natixis Investment Managers is a subsidiary of Natixis.
Portfolio management company - French Public Limited liability company
RCS Paris n°453 952 681
43, Avenue Pierre Mendes France – 75013 – Paris.

This communication is for information only and is intended for investment service providers or other Professional Clients. The analyses and opinions referenced herein represent the subjective views of the author as referenced unless stated otherwise and are subject to change. There can be no assurance that developments will transpire as may be forecasted in this material.
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