Brian Lucey, Trinity College Dublin

Biodiversity loss and degradation pose significant but often overlooked threats to global financial stability, comparable to or potentially exceeding climate-related risks. These risks manifest through both physical disruptions to business operations and transition risks from economic adjustments needed to address biodiversity loss. Financial institutions, including banks, asset managers, and insurers, are exposed to these nature-related risks primarily through their investments, loans, and insurance policies to companies and households.

A growing body of research is quantifying biodiversity risk exposures at both individual and systemic levels, with recent work examining how financial markets price corporate debt and how biodiversity risk affects financial stability. This special issue seeks cross-disciplinary contributions from researchers, practitioners, and policymakers addressing how biodiversity risk impacts the financial system and individual financial actors, including topics such as financial system mapping, debt pricing mechanisms, instrument incorporation, and regulatory frameworks around biodiversity exposure.

Appel publié par Financial Markets Institutions and Instruments. Voir l'appel sur le site de l'éditeur. Fiche de l'appel sur kerostig.

Potential topics

• Mapping biodiversity risk at the financial system level
• The role of biodiversity risk and exposure in corporate debt demand decisions
• How, if, financial institutions and markets price corporate debt in the presence of biodiversity exposure
• Incorporating biodiversity risk and exposure into financial instruments
• Regulatory and voluntary measures around biodiversity risk and exposure at the corporate level and how these impact on corporate financial decision making
• Biodiversity washing and biodiversity shifting in the presence of biodiversity-related financial instrument pricing

Timeline

• September 1, 2026: Submission deadline