The GBP20 billion West Yorkshire Pension Fund (WYPF) – part of the GBP60 billion plus Northern LGPS pool alongside Greater Manchester Pension Fund and Merseyside Pension Fund – is the first to invest in Rebalance Earth.
The fund is run by Natural Capital, a boutique fund manager entirely focused on nature, investing in infrastructure which it says “provides climate adaptation and resilience for companies, communities and cities across the UK”.
Nature Capital’s goal is to close the GBP50 to GBP100 billion gap in finance needed for nature restoration in the UK, while generating “stable cashflows that offer attractive risk-adjusted returns for investors”.
Leandros Kalisperas, WYPF’s Chief Investment Officer, says: “As a large asset owner with a long-term horizon, we have a responsibility to provide direct patient capital to nature as infrastructure and to start to address critical issues like climate change adaptation and resilience here in the UK.”
Over the next decade, Rebalance Earth aims to mobilise over GBP10 billion towards restoring nature across the UK.
Robert Gardner, CEO and Co-founder of Rebalance Earth, says: “A 2 per cent for nature allocation from the GBP5 trillion in UK pension and wealth assets would generate the necessary funds to address the estimated GBP50-100 billion needed for Nature restoration in the UK.”
He adds: “WYPF is setting the standard on the level of commitment needed to put the brakes on the UK climate and nature crisis. With their investment, we can build an expert team, launch our fund, and restore landscapes and seascapes across the UK. Nature is our ally against climate change, and we need to start rebuilding this natural infrastructure to protect our companies, communities and cities.”
