The effects of climate change are a megatrend on a global scale, influencing the expected risk-return profile of real assets investments and the opportunity set for investors. The increasing frequency and severity of physical climate hazards, as well as nature loss resulting from changing ecosystems requires new ways of thinking about financial risk and return in real assets investments.
As addressing these challenges becomes increasingly important, a growing set of real asset investment opportunities are appearing, designed to mitigate and even begin to reverse climate impacts and nature loss.