Nordic Corporate Leaders Must Reverse Negative Trends to Meet 2030 Nature Goals

New analysis confirms Nordic companies outperform global peers on nature-related impacts, but growing risks in key sectors demand targeted investor action.

A new report released today by Storebrand Asset Management, in partnership with nature and biodiversity data leader GIST Impact, finds that the 100 largest Nordic companies are leading the way on environmental performance. Together, these companies have a 42% lower impact on nature compared to a global benchmark of major corporations (Nature Action 100).

However, the report, Integrating Nature Data Into Investment Decisions, also carries a warning: even these leaders are still increasing their pressure on nature. Since 2017, their negative impacts on nature have grown by around 1% each year, with most of that impact concentrated in a few high-impact industries. This growing pressure on nature exposes investors and Nordic companies to mounting risks and could undermine global nature goals if left unaddressed.

When nature is lost, ecosystems are degraded, supply chains are disrupted, productivity falls, and asset values erode. Nature underpins reliable access to water, energy and raw materials, which are essential for everything from food production to manufacturing. As competition for resources grows, countries and companies that safeguard natural assets will be better prepared for future shocks and disruptions.

“The good news is that the largest Nordic companies are ahead of the curve. The urgent news is that even leaders are still moving in the wrong direction, increasing their environmental pressures year on year,” commented Emine Isciel, Head of Climate and Environment at Storebrand Asset Management.

“As investors, we can use this data to move beyond broad policies and pinpoint exactly where value is at risk, and where we need to drive meaningful change at a company-level.”

“Nature-related risks, whether from ecosystem degradation, water stress, or litigation, have direct implications for companies, affecting valuations, operational stability, and long-term resilience. Understanding how portfolios interact with nature helps us pinpoint financial risks and drive meaningful change through targeted engagement,” she continued.

Driving Accountability through Data
Historically, integrating nature-related considerations into investment and lending decisions has been challenging, largely due to limited data, tools and guidance. This analysis shows the main challenge is no longer data availability, and with appropriate interpretation and application, the data can reveal valuable insights.

By mapping company operations against location-specific data, including water stress, forest loss, biodiversity intactness, protected areas, and Indigenous lands, Storebrand and GIST Impact were able to identify high-risk sectors and locations that translate directly into financial and operational exposure.

“Nature data is inherently complex. It can’t be reduced to a single metric. The real power lies in integrating trusted, traceable datasets to produce location-specific insights. This enables investors to identify where the biggest nature risks and opportunities for impact truly lie,” said Mahima Sukhdev, Chief Growth Officer at GIST Impact.

Key Findings: Sector Hotspots and Rising Nature Risks
The analysis shows that most of the biodiversity footprint in the Nordics 100 portfolio is concentrated in a handful of high-impact sectors, particularly manufacturing, food production, automotive, textiles, and freight transport. These industries also rely heavily on water for operations, making them vulnerable to water stress and growing regulatory pressures.

Additional insights on the Nordics 100 portfolio include:

• Manufacturing alone accounts for over 70% of the portfolio’s biodiversity footprint, despite representing just over half of its value.

• More than half of the portfolio’s manufacturing assets are located in drought-prone or water-stressed areas, creating significant exposure to operational and financial risks.

• Nearly one in five manufacturing investments are located near protected areas, as defined by the World Database on Protected Areas.

• High-impact business activities, such as railway construction, petroleum manufacturing, freight air transport and water transportation services are also exposed to strictly protected areas and Indigenous lands.

The location-specific data illustrates how these risks manifest in practice:

• Water stress: This exposure is particularly pronounced in the manufacturing sector, where more than half of sites in the Nordics 100 portfolio are already in drought-affected regions, leaving production in these regions more vulnerable to disruption and rising costs if water becomes even scarcer.

• Forest loss: Several forestry-linked operations are located close to areas where forests are actively being cleared, putting these companies at the centre of growing scrutiny over deforestation and land use.

• Indigenous lands: Freight air and water transport activities in the portfolio overlap with nearly 200 Indigenous communities. This proximity to Indigenous lands increases the likelihood of community concerns and scrutiny and underscores the need for companies to act responsibly in sensitive areas.
  

Nordic Leadership Within The Global Context
The world remains off track to meet the 2030 global nature goals. Under the UN Global Biodiversity Framework, all financial flows are expected to align with nature-positive outcomes by the end of the decade. Yet an estimated USD 7 trillion per year, around 7% of global GDP, continues to finance activities that degrade ecosystems.

Given their relative leadership on nature impact, Nordic companies are well placed to set the tone globally, using this new analysis to strengthen risk management, investor stewardship, and corporate accountability.

From Data to Stewardship
Storebrand Asset Management will use these findings to focus its stewardship where it matters most:

• Identifying the most significant nature-related impacts across its portfolios

• Targeted engagement with companies in high-risk sectors and locations such as manufacturing, forestry and transportation, and those operating in or near Indigenous lands, to reduce environmental pressures and build resilience.

• Monitoring company targets and performance over time on, for example, water management and biodiversity impacts, and alignment with evolving reporting standards.

• Driving transparency and accountability in line with frameworks such as TNFD and GRI.

“This analysis enables more informed engagement with companies on their strategies, especially in high-risk areas. For instance, encouraging water reuse and efficient wastewater management in manufacturing hubs, or supporting Indigenous-led conservation efforts in ecologically sensitive zones. We’ll use these insights to pinpoint nature-related risks, engage where it matters most, and support stronger biodiversity reporting and accountability across our portfolio,” concluded Emine.

Link to the report>>