Biodiversity Equity, Annual report 2022-3 – Federated Hermes Limited

Federated Hermes Limited's annual report looks at the battle against deforestation. Despite the scale of destruction to key global forestry regions, there is a developing consensus that collective action from multiple stakeholders can halt, or even reverse, the ecological damage.

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... Fast reading:
  • Rainforests are biodiversity hotspots. When forests are lost or degraded, it sets off a series of changes that affect life both locally and around the world.
  • While large-scale farming operations in cleared areas of rainforest are the primary culprit, there is evidence to suggest smaller environmentally-friendly agricultural methods can effectively replace existing commercial practices and be much more sustainable.
  • Investors have a significant role to play in the battle against deforestation. Biodiversity Equity engages with portfolio companies with a focus on achieving reportable outcomes, including reversing nature loss and mitigating deforestation.
  • Engagement case studies in this report include Danish biotech firm Novozymes, Australian pallet maker Brambles and Finnish forestry firm UPM.

Plus: Federated Hermes Limited engagement and environmental footprint data and a market review.

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