Recently, there have been many commercial applications on the market that provide biodiversity measurement approaches to assess nature risk for financial institutions. Moreover, financial institution nature-related financial disclosure metrics and targets and KPIs are under rapid development and testing i.e. by the Task Force for Nature-related Disclosure (TNFD). 

The scope of DP12 will feature three research hypotheses (H):

• H0: Global assessment tools use minimum common denominator metrics for biodiversity to ensure comparability across assets globally. (Biodiversity information gap)
• H1: Metrics or assessment tools do not consider biodiversity status and impact against legal and regulatory requirements in the country hosting operations. (Regulatory gap)
• H2: Biodiversity at risk in operations locations even if reported at corporate reporting level is not aggregated by commercial providers of assessment tools at the level of an investment portfolio of a financial institution. (Assessment gap)

The methods that will be used within the DP are literature review, stakeholder board meetings and expert tool reviews.