Climate Asset Management Joins World-First Forestry Initiative To Value Nature And Climate Assets

Climate Asset Management announce its participation in International Sustainable Forestry Coalition (ISFC), in partnership with the Capitals Coalition and the Taskforce on Nature-related Financial Disclosures (TNFD).

Climate Asset Management (CAM) is proud to announce its participation in a landmark global initiative led by the International Sustainable Forestry Coalition (ISFC), in partnership with the Capitals Coalition and the Taskforce on Nature-related Financial Disclosures (TNFD). This world-first, sector-wide project brings together eighteen leading forest sector companies, stewarding more than 24 million hectares (almost 60 million acres) in 21 countries, to develop a consistent framework for understanding and valuing the climate and nature assets they steward, often referred to as ‘Natural Capital’.

This project is designed to advance nature-related financial disclosure and accounting practices within the forestry sector through a phased approach:

• Phase 1 will focus on aligning stakeholders around a common approach to TNFD-aligned reporting, including the development of consistent metrics and methodologies tailored to forestry.
• Phase 2 will pilot a natural capital accounting framework, applying it to selected forestry assets to test methodologies, data availability, and decision-usefulness.

CAM’s Commitment to Natural Capital

As a founding member of the Natural Capital Investment Alliance and a TNFD Early Adopter, CAM has long championed the integration of nature-related risks and opportunities into investment decision-making. This initiative builds on that commitment, aligning with CAM’s broader strategy to mobilise private capital at scale for climate and biodiversity impact.

“Joining this initiative is a natural extension of our mission to deliver measurable environmental outcomes alongside financial returns,” said Martin Berg, CEO at CAM. “We believe that standardising how we value ecosystem services is essential to scaling investment in nature-based solutions.”

Why TNFD Matters to CAM

The TNFD framework provides a globally recognised structure for assessing and disclosing nature-related risks and dependencies. For CAM, this means:

• Enhancing processes and transparency: Integrating TNFD’s Locate, Evaluate, Assess, Prepare (LEAP) Framework into our assessment process and reporting of nature-related impacts to stakeholders.
• Driving capital flows: By aligning with TNFD, CAM supports the redirection of global finance away from nature-negative outcomes and towards regenerative, nature-positive investment.
• Shaping the future of natural capital: CAM’s involvement in this project contributes to the development of a new asset class—Natural Capital—grounded in robust, science-based valuation methodologies.

This initiative reinforces CAM’s role as a leader in sustainable finance and its commitment to advancing the global transition to a nature-positive economy.

About the ISFC:

The ISFC currently represents 20 major forestry companies across the world which steward more than 20 million hectares in 37 different countries on all six forest growing continents. The ISFC is open to applications for membership from those which share its vision and meet its requirements.

About the Capitals Coalition:

The Capitals Coalition is a global collaboration of the leading initiatives involved in measuring and valuing natural, social, and human capital, providing best-in-class technical expertise and deep understanding of this evolving space.

About the TNFD:

The Taskforce on Nature-related Financial Disclosures (TNFD) is comprised of 40 business and finance leaders from around the world and was launched in 2021 with the support of the G20. TNFD provides recommendations and guidance for market participants and other stakeholders about how nature beyond climate should be assessed, managed and reported. It has built a global movement of support and action, including over 500 organisations and over USD$17 trillion in assets under management (AUM) now committed to reporting their nature-related issues aligned with the TNFD recommendations published in September 2023. The TNFD recommendations build on the previous approach and recommendation of the Task Force on Climate-related Financial Disclosures (TCFD) and are aligned with the impact standards of the GRI, the European Union’s Corporate Sustainability Reporting Directive (CSRD) and the sustainability reporting standards of the International Sustainability Standards Board (ISSB).

About Climate Asset Management

Climate Asset Management was formed in 2020 as a joint venture of HSBC Asset Management and Pollination, with the ambition to grow the world’s leading asset management company dedicated to natural capital. It aims to provide investment solutions that are good for nature, people, and our planet. Climate Asset Management’s investment strategies seek to work across landscapes to build resilience whilst generating returns. Through its Natural Capital Strategy, it aims to deliver attractive, long-term risk return outcomes and create impact at scale by protecting and restoring vital biodiversity. Through its Nature Based Carbon Strategy, it aims to unlock the supply of high impact carbon credits for corporates and investors seeking to achieve net zero.

Issued in the UK by Climate Asset Management Limited which is authorised and regulated by the Financial Conduct Authority in the UK (FRN 944222). Its registered address is at 3 More London Riverside, London SE1 2AQ, United Kingdom.