- New Forests is launching a $707 million natural capital strategy for institutional investors, targeting forestry, agriculture, carbon and biodiversity markets.
- The Global Landscape Opportunities strategy will allocate 60% to 80% of capital to developed markets, with exposure to Latin America, Southeast Asia and Africa.
- The fund reflects rising investor demand for land-based assets that can support inflation resilience, portfolio diversification and climate outcomes.
New Forests Targets Global Demand for Natural Capital
Sydney-based New Forests is launching a $707 million natural capital fund as institutional investors increase allocations to land-based assets, carbon markets and biodiversity-linked strategies.
The Global Landscape Opportunities strategy, known as GLO, is New Forests’ first global natural capital offering. It will invest across forestry, agriculture and complementary markets such as carbon and biodiversity.
The strategy will be established in Luxembourg and will be open only to institutional investors. Its target audience includes pension funds, insurance companies, family offices, endowments and foundations.
Media reports state that New Forests is seeking to raise A$1 billion, equal to about $707 million, for the new fund. The firm says the strategy will give investors access to a globally diversified portfolio of natural capital assets.
For institutional capital, the launch comes as asset owners look beyond listed equities and conventional infrastructure for long-duration exposure. Natural capital has gained attention because it can link real asset returns with climate resilience, food security and ecosystem protection.
A Global Portfolio Across Land, Carbon and Biodiversity
The GLO strategy brings together New Forests’ two decades of regional investment experience into one integrated global portfolio.
The proposed allocation model places most of the capital in developed markets. Between 60% and 80% of the portfolio will target the United States, Canada, Europe, the UK, Australia and New Zealand.
Developed Latin American markets, including Brazil, Uruguay and Chile, may receive up to 30% of the portfolio. Southeast Asia, other Latin American regions and Africa may receive up to 20%.
The strategy will invest in sustainable forestry assets, agricultural land, food production systems, carbon and climate-related investments, and biodiversity and ecosystem markets.
That mix places the fund at the intersection of several boardroom priorities. Companies face rising scrutiny over land use, carbon claims and supply chain exposure. Investors also need credible routes into nature-related assets as voluntary carbon markets mature and biodiversity finance becomes more formal.
For executives, the GLO strategy shows how natural capital is shifting from a niche allocation into a broader institutional asset class. It also reflects growing demand for investment structures that can match fiduciary requirements with measurable environmental exposure.
Investor Demand Moves Beyond Regional Allocations
Mark Rogers, Chief Executive Officer, New Forests, said, “The launch of our Global Landscape Opportunities strategy marks a significant step in the evolution of New Forests as a global natural capital investment manager. We are seeing strong investor demand for scalable, institutional strategies that provide diversified exposure to natural capital. This strategy responds directly to that need – bringing together our global platform, investment expertise, and track record into a single, offering. Natural capital is increasingly recognised as a core component of resilient portfolios, offering the potential for long-term returns while supporting critical outcomes such as climate stability, biodiversity and sustainable land use.”
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David Shelton, Global Head of Investments, New Forests, said, “Historically, many investors have accessed natural capital through regional allocations, but not all institutions have the scale, resources or expertise to build and manage global portfolios themselves. Building on New Forests’ regional return performance, this strategy allows investors to access a diversified global portfolio where we actively allocate capital across regions, sectors and markets to optimise outcomes.”
“Natural capital offers a compelling investment proposition, with characteristics such as attractive long duration return profiles, inflation hedging, and low correlation to traditional asset classes. It also provides exposure to fundamental global demand for food, fibre, renewable energy and ecosystem services.”
Why It Matters for ESG and Climate Finance
The launch adds to a wider shift in sustainable finance. Investors increasingly treat land, forests and agriculture as core climate infrastructure. These assets can store carbon, support biodiversity, produce food and fibre, and help economies adapt to climate risk.
The strategy also arrives as companies and investors prepare for closer scrutiny of nature-related claims. Global disclosure frameworks now place more attention on biodiversity, land use and ecosystem dependencies. That creates demand for specialist managers that can source, monitor and govern natural capital assets across regions.
For C-suite leaders, the fund points to a more integrated view of climate and nature finance. Carbon investments alone no longer define the market. Investors now want exposure to forestry, agriculture, ecosystem services and biodiversity outcomes within one governed platform.
New Forests’ global approach could give large institutions a simpler route into a fragmented market. It also raises the bar for governance, asset selection and impact measurement across natural capital portfolios.
As climate finance expands beyond energy and heavy industry, land-based assets are becoming more strategic. The GLO strategy places New Forests in that transition, with a fund designed for investors seeking scale, diversification and exposure to the economic value of nature.
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