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Water – the lifeblood of the $5-trillion food industry – is slowly gaining notice among companies and investors in this sector. Food and agriculture use the single largest share of the world’s freshwater resources, making water-associated risk a critical concern for production and profitability. A key 2017 report by Ceres highlighted the industry’s water risks while identifying how investors can push companies toward better water-management strategies.

In Colombia, one of the most biodiverse countries in the world, the government introduced a tax on fossil fuels of $5 USD per ton of carbon dioxide by late 2016. The regulation was set to start working in 2017.

Anthropogenic influence on coral ecosystems is tremendous. Corals are dying because of bleaching, disease and weakness. This is due to ocean warming and acidification caused by climate change. The recent Intergovernmental Panel on Climate Change report paints an ominous picture of coral’s future, projecting a 99 percent decline by 2050. Urgent action is critical to prevent dire consequences.

Recent developments on the relationship between urban greenery and public health have taken cities by storm. Reports such as “Funding Trees for Health" by The Nature Conservancy and the “Green Infrastructure and Health Guide" by the Willamette Partnership and Oregon Public Health Institute have made the case clear.

The National Philanthropic Trust’s 2017 Donor-Advised Fund Report found that the capital housed in donor-advised funds across the United States exceeded $85 billion in 2016. This represents an almost 10-percent increase since 2015 and a 28-percent increase since 2012.

Sustainable forestry represents a major portion of conservation finance’s investable landscape. According to a 2016 Forest Trends report, “State of Private Investment in Conservation 2016,” sustainable timberland investments accounted for approximately 34 percent of all private conservation investments from 2004 to 2015.

Conservation managers and entrepreneurs who are looking to make their projects stand out as investment opportunities should be sure to supply the information that investors want. Impact investing experts interviewed by Conservation Finance Network expressed a surprising lack of interest in most impact metrics and measurements aside from carbon sequestration. They instead indicated that they prioritize honest assessments of risk. They also value an understanding of how an investment opportunity can fit into a larger portfolio.

There is a growing gap between available impact capital and conservation investments. This has become a major focal point for investment professionals in the field. One reason for this trend may be that conservation investments are not meeting investor expectations due to a lack of quality opportunities.

This article by Paula Chamas and Mark Berry is part of the Conservation Finance Network Toolkit, a resource designed for professionals who want to learn or communicate about the industry. Carbon stored in forests has become a great opportunity for conservation-minded landowners to obtain an additional stream of revenue.

The community of Ixtlán de Juárez in Oaxaca, Mexico is a great example of the multiple economic, ecological and social benefits of a sustainably managed community forest. Forest management and ownership has fostered social and economic prosperity in this community while protecting the unique environmental values of its land. It is an indigenous Zapotec community located in one of the poorest areas of Mexico in the rugged mountains of the Sierra Juarez. Revenues from forest management have been reinvested over the years in the creation and growth of different community-owned enterprises.

CFN is pleased to announce our 13th annual Conservation Finance Boot Camp will be held June 24-28th, 2019, at Portland State University in Portland, OR. The Boot Camp is a week-long, intensive training course to help mid-career professionals utilize innovative and effective financing strategies for land and resource conservation, restoration, and stewardship.

Voices of Conservation Finance is a podcast series that interviews conservation finance practitioners to explore career paths and opportunities for professional development in the field.