Wed 04 Oct 2023 - Since 1970, the Earth’s wildlife populations have fallen by almost 70% – a result of deforestation, excessive human consumption, and life-choking pollution. Attention to biodiversity and nature-related risks (‘biodiversity risks’) is growing from policymakers and regulators, with efforts and comments from ECB, NGFS, and TNFD as just three recent examples. The commitments from the 2022 Montreal-Kunming Global Biodiversity Framework are almost certain to be embedded into regulatory frameworks in the near future.
Responding to biodiversity risks calls on our actuarial skills, techniques, and professional judgement. Indeed, the long-term, uncertain, and intangible nature of these risks are all deeply actuarial. The IFoA recently agreed a new biodiversity and nature-related risk policy to reflect its commitment to support the profession and its members with their understanding of, and engagement with, these risks.
The trajectory and impact of biodiversity loss are uncertain. The consequences, including financial ones, are projected to be large, although the timings and exact outcomes are unknown. Climate risks accelerated onto the actuarial agenda within four years of the Paris Agreement and two years from the recommendations of the TCFD. We expect similar or shorter timeframes for biodiversity risks. Thus, biodiversity and nature-related risks is a critical topic for actuaries to understand and embed in their work.
This sessional meeting is part of a broader program of efforts and is extremely timely and extremely relevant to all actuaries.
The event will:
Finally, if you are interested in joining the Biodiversity Working Party in its future work, please sign up before 28 September. You don't need to be an actuary to join the working party: we welcome and appreciate non-actuaries with biodiversity expertise. Find out more and apply by visiting the Sustainability Research Working Party Chair and Members volunteer vacancy page.
Biodiversity and nature-related risks for actuaries: An introduction by Lucy Saye FIA, CERA, BVetMed MRCVS
Biodiversity resources at the IFoA (497 MB PDF)
Professor Aled Jones is the inaugural Director of the Global Sustainability Institute (GSI) at Anglia Ruskin University. The GSI is an internationally recognised research institute, with a group of 40 individuals. Prof Jones’ work in climate finance has been recognised by the State of California and he has received a key to the city of North Little Rock, USA. He is a Co-Investigator on the ESRC Centre for the Understanding of Sustainable Prosperity (CUSP), the AHRC Debating Nature’s Value network and the UK Government funded Economics of Energy Innovation and System Transition.
Prof Jones’ research particularly focusses on the finance sector and government and how they will respond to the impacts of global resource trends, biodiversity loss, and climate change. He was made an Honorary Fellow of the Institute & Faculty of Actuaries in 2018. He chairs the Biodiversity Working Party on behalf of the Institute. Prof Jones has a PhD from the University of Cambridge.
Chair of the IFoA Sustainability Board and member of the Economics Member Interest Group
Lucy is a dual qualified actuary and veterinary surgeon and chair of the IFoA sustainability board. She works in the Actuarial, Insurance and Banking team at Deloitte focusing on sustainability for insurance clients.
She co-authored a report on climate change tipping points for the IFoA and is the author of the IFoA's biodiversity practical guide.
Director, Gordian Advice
Nick is a sustainable investment advisor with over 30 years’ experience in advisory, asset management and asset owner roles. In 2018, he founded Gordian Advice to help UK Pension Funds and Insurance companies integrate responsible investment into their investment strategies and portfolios.
Nick has been an Institute and Faculty of Actuaries (IFoA) council member and a chair of its Sustainability Board. Nick co-authored both a prize-winning paper on Climate Scenario analysis and the DCIF Good Citizen’s Guide to ESG, and was an expert witness to the UK Parliament’s Environment Audit Committee. Nick is an advocate for aligning the asset management industry with a broader societal purpose and is an Ambassador for the Diversity Project.
Taskforce on Nature-related Financial Disclosures (TNFD)
Thomas Viegas is Partnerships Lead for the Taskforce on Nature-related Financial Disclosures (TNFD).
Prior to joining TNFD in May 2023, Thomas was at the Bank of England where he spent nearly a decade working on and influencing a broad range of UK and global macro-financial policy issues. Thomas led the Bank of England’s initial approach and strategy to nature-related financial risks. He also played a key role in establishing the foundational work on nature-related financial risk within both the Network for Greening the Financial System (NGFS) and UN Sustainable Insurance Forum (SIF).
He has also been responsible for leading the Bank of England’s external technical assistance program to other central banks and financial regulators on greening finance issues, in the run up to and including COP26.
Thomas was previously seconded as an Economic Adviser and Finance Sector lead to The Economics of Biodiversity: The Dasgupta Review, based at the UK’s Finance Ministry (HMT).