Nuveen Natural Capital, the land-focused asset management platform of global asset manager Nuveen, announced the launch of its new global nature-based solutions investment strategy, backed by a $100 million anchor investment from Nuveen’s parent company, TIAA.
The announcement marks the latest move by major financial players to deepen their focus on the natural capital sector, following JP Morgan’s recently announced rebrand of its timberland investment advisory company Campbell Global to J.P. Morgan Natural Capital, establishing an $11 billion platform positioned to capitalize on broader investment opportunities across land, carbon, biodiversity, and other nature-related investments, and the recent launch by Crédit Agricole of its new natural capital finance and investment division.
The company said that the new strategy, led by Nuveen’s Head of Nature-Based Climate Solutions Nick Moss, marks the first time Nuveen Natural Capital has combined investments in farmland, timberland, environmental markets and ecosystem restoration in a single vehicle.
Moss said:
“Demand for natural capital is being reshaped by structural forces that aren’t going away – a growing population needs more food, fibre and timber, and at the same time investors are looking for genuine exposure to nature and climate solutions that aim to deliver impact as well as strong financial performance. This strategy seeks to meet that opportunity head-on, drawing on four decades of experience originating and managing land-based assets.”
According to Nuveen, the strategy will focus on a diversified portfolio of natural capital assets, primarily in developed markets, including the U.S., Australia and Europe, targeting areas such as regenerative agriculture, sustainable forestry and ecosystem restoration, with the aim of generating financial returns alongside positive environmental and social outcomes.
The strategy will seek returns from agricultural and forestry production, land value appreciation and ecosystem services, including carbon projects, water-related opportunities and biodiversity-focused investments, the company added.
Martin Davies, Global Head of Nuveen Natural Capital, said:
“Over four decades, we’ve built deep capabilities in farmland, timberland and environmental markets. What’s new here is that we’re now bringing all of that expertise together into a single strategy for the first time, giving investors a genuinely integrated way to access nature-based returns anchored around commercial regenerative agriculture and sustainably managed forestry.”
