MSCI in Practice: Identifying Nature-Related Risks From Global Portfolios to Local Assets

Nature-related risks are financially material — but measuring them with greater granularity has remained a challenge. In this webinar, MSCI and WWF present the key findings of a new case study integrating WWF’s Biodiversity Risk Filter (BRF) with MSCI GeoSpatial Asset Intelligence and aggregating results  to the company-level to provide investors with a view that is intended to be  location-specific, financially relevant with respect to nature-related risks.

The study introduces the Biodiversity Risk Metrics and demonstrates their application through a step-wise approach to assess exposure to nature-related risks – from portfolio screening to sector analysis and company-level prioritization. 

The study concludes by translating these findings into priorities. Focus companies for engagement and stewardship are identified where potential impacts on profitability are high and revenue concentration in a small number of high-risk locations can significantly increase operational fragility. 

Using the MSCI ACWI IMI as a proxy for global markets, the analysis highlights that trillions of dollars in revenues are linked to assets exposed to elevated nature-related risks. Water availability and pollution emerge as key non-climate-related risks, while climate-related hazards such as extreme heat and tropical cyclones highlight both systemic exposure and opportunities for nature-based solutions.

Join us to explore practical applications for portfolio assessment engagement and how investors may use  Biodiversity Risk metrics to inform their analysis.