Natural capital investment manager New Forests has announced the launch of its Global Landscape Opportunities (GLO) Strategy, marking the firm’s first global natural capital fund designed to invest across forestry, agriculture, carbon markets, biodiversity initiatives, and other nature-based assets.
The Sydney-headquartered company is reportedly targeting A$1 billion (approximately USD 707 million) in capital commitments for the new strategy, reflecting growing institutional investor interest in assets that combine financial performance with measurable environmental outcomes.
Growing Investor Demand for Natural Capital Assets
Founded in 2005, New Forests is a specialist investment manager focused on natural capital and nature-based real assets. The company manages investments across sustainable forestry, agricultural land, conservation projects, carbon initiatives, and related infrastructure assets.
According to the firm, the Global Landscape Opportunities strategy has been designed to provide institutional investors with access to a diversified portfolio of natural capital investments across multiple geographies and sectors.
The launch comes as investors increasingly seek opportunities that can deliver portfolio diversification, inflation protection, and exposure to sustainability-driven growth themes, while contributing to climate resilience and ecosystem restoration.
Mark Rogers, Chief Executive Officer of New Forests, said:
“We are seeing strong investor demand for scalable, institutional strategies that provide diversified exposure to natural capital. Natural capital is increasingly recognised as a core component of resilient portfolios, offering the potential for long-term returns while supporting critical outcomes such as climate stability, biodiversity and sustainable land use.”
Global Diversification at the Core of the Strategy
The Global Landscape Opportunities fund will invest through a single integrated portfolio spanning developed and emerging markets.
Under the proposed allocation framework:
- 60% to 80% of investments will be directed towards developed markets, including the United States, Canada, Europe, the United Kingdom, Australia, and New Zealand.
- Up to 30% will be allocated to developed Latin American markets such as Brazil, Chile, and Uruguay.
- A maximum of 20% may be invested in Southeast Asia, Africa, and other emerging regions.
The diversified geographic approach is intended to help investors capture opportunities across different natural capital markets while reducing concentration risks.
Focus on Forestry, Agriculture, Carbon and Biodiversity
The new strategy will target a broad range of natural capital opportunities, including:
🌲 Sustainable forestry and timberland assets
🌾 Agricultural land and food production systems
♻️ Carbon and climate-related projects
🦋 Biodiversity and ecosystem service markets
⚡ Nature-based renewable energy opportunities
By investing across multiple environmental asset classes, New Forests aims to create a portfolio that benefits from long-term global demand for food, fibre, renewable resources, and ecosystem services.
Natural Capital Emerging as a Mainstream Asset Class
Natural capital investments have gained significant attention in recent years as governments, businesses, and investors increasingly focus on climate action, biodiversity conservation, and sustainable land management.
Many institutional investors now view nature-based assets as an important component of ESG-focused investment strategies due to their ability to generate stable cash flows while supporting environmental outcomes.
The growing importance of carbon markets, biodiversity credits, regenerative agriculture, and sustainable forestry has further strengthened investor interest in the sector.
According to New Forests, natural capital offers several attractive investment characteristics, including long-term return potential, inflation protection, and lower correlation with traditional asset classes such as equities and fixed income.
Institutional Investors Targeted
The Global Landscape Opportunities strategy is open exclusively to institutional investors.
Target investor groups include:
- Pension funds
- Insurance companies
- Family offices
- Endowments
- Foundations
- Large institutional asset allocators
These investors are increasingly seeking opportunities that align financial objectives with sustainability commitments and net-zero strategies.
David Shelton, Global Head of Investments at New Forests, said:
“Natural capital offers a compelling investment proposition, with characteristics such as attractive long duration return profiles, inflation hedging, and low correlation to traditional asset classes. It also provides exposure to fundamental global demand for food, fibre, renewable energy and ecosystem services.”
Supporting Climate and Biodiversity Goals
The launch of the GLO strategy comes as global efforts to address climate change and biodiversity loss continue to accelerate.
Nature-based solutions are expected to play a critical role in achieving international climate targets, restoring ecosystems, improving land productivity, and enhancing carbon sequestration.
As investors seek sustainable long-term growth opportunities, natural capital is increasingly emerging as a strategic asset class capable of delivering both financial returns and positive environmental impact.
Outlook
The launch of New Forests’ Global Landscape Opportunities strategy highlights the growing maturity of natural capital investing and the increasing role of nature-based assets within institutional portfolios.
With a target fund size of A$1 billion, the strategy is positioned to capitalize on rising demand for sustainable investments while supporting critical global priorities such as climate resilience, biodiversity conservation, carbon reduction, and sustainable land use.
As ESG investing continues to evolve, natural capital is expected to become an increasingly important component of long-term investment strategies focused on balancing financial performance with environmental stewardship.
