Switzerland-based data and analytics provider GIST Impact has launched a new ‘Nature Value at Risk’ (NVaR) dataset to help financial institutions measure nature-related financial risks within their portfolios.
The dataset covers 18,000 companies. It provides metrics on the financial risks associated with the potential degradation of the natural systems they depend on. Calculations are based on sectors and geographic locations and take into consideration the resilience and adaptability of the businesses.
Pavan Sukhdev, GIST Impact CEO, stated: "The question the financial sector has been wrestling with of late is what financial risk the degradation of nature exposes their portfolios to. [NVaR] answers that question, translating the risk of ecosystem losses into financial metrics that investors understand and can defend to their boards."
The dataset focuses on physical risks affecting 25 ecosystem services. It is intended to support exposure analysis, stewardship and TNFD-aligned reporting.
GIST Impact will expand the dataset to incorporate transition risks in the coming months.
Companies:GIST Impact
People:Pavan Sukhdev
