Track C
Investor Impact Track
This track applies to financial institutions that generate impacts via their investments. These can be addressed through the individual investment, or aggregated across investment portfolios. Such companies will likely have difficulty measuring the exact magnitudes and locations of their impacts, and until more comprehensive data is available on biodiversity impacts of commodity production at small geographical scales, direct evaluation of the impacts of portfolios will be difficult.
Is this the right track for your organisation?
This pathway is for organisations that:
generate impacts via their investments:
- Financial institutions
- Investors
- Insurers
have portfolios that contain combinations of companies with direct impacts and value chain impacts
Two step approach to help measure impact
Investment share approach
Investment firms introduce disclosure and reporting requirements for the companies with direct and value chain impacts they invest in, to ensure they are implementing their own ‘within value chain’ actions
Evaluation of progress of investee companies
Screen and score investees according to their progress along the IUCN RHINO tracks, and compile statistics on relative performance of investees and performance of portfolio overall
Incentivise investees to adopt the appropriate IUCN RHINO track through direct engagement, divestment or loan covenants
Investee companies implement steps from the Direct Impact Track and Value Chain Impact Track according to company type, and report on progress to investors
Monitor performance of investees and portfolio using track scoring and realised outcomes
Report on performance and disclose aligned with the TNFD recommendations
Next steps and piloting
This track is ready for further development with:
Financial institutions
Investors
Insurers
Lessons generated from the NPI State of Nature Metrics Piloting and TNFD metrics assessments will be included in this refinement.
The goal is to refine the IUCN RHINO methodology for broader application across investors and insurers.
Pilot with us
Help shape the Investor Track by collaborating with us.
