BNP Paribas Asset Management has announced the launch of the BNP Paribas Future Forest Fund.

The fund, classified as Article 9 under SFDR, will invest in sustainable forestry and combine sustainable investment practices to combat climate change, improve asset resilience, and enhance biodiversity. It has been launched in partnership with natural capital firm IWC.

BNP says the fund will only invest in FSC (Forest Stewardship Council) certified or certifiable forests and target a size of $500 million. The portfolio will consist of 8 to 12 assets in the US, Australia, New Zealand, and Europe.

Otto Reventlow, CEO of IWC:, said, “The BNP Paribas Future Forest Fund represents a significant step forward to bring sustainable forestry investment into the mainstream and recognises timberland as a compelling investment proposition. With this fund, we ensure that our focus on commercial viability is balanced with a strong commitment to protect and enhance biodiversity and climate resilience. We are proud to collaborate with BNP Paribas Asset Management to create a fund that aligns financial objectives with the urgent need for environmental stewardship.”

David Vaillant, Global Head of Finance, Strategy and Participations at BNPP AM and Chairman of IWC, said, “We are very pleased to partner with IWC and leverage their deep expertise in natural capital, ensuring that we make a meaningful impact in the world of sustainable forestry. The Future Forest Fund illustrates the common vision we have with IWC to actively contribute to the environmental transition. This new fund will enable us to answer our clients’ growing interest in this new asset class as we widen our breadth of natural capital solutions.”

END