The EU Directive on non-Financial Disclosure will require business ESG (Environmental, Social Responsibility, Governance) reporting on nature risks. However, ESG indicators and the natural capital accounting upon which they build is not robust.

Investor decisions are subject to cognitive biases which can be personality-trait and investor type specific. A systematic literature review will assess evidence that investor cognitive biases are magnified in the context of ESG uncertainty.
With financial stakeholders (e.g. TNDF) we will examine the implications for ESG indicator design specifically, and more widely as sustainable finance as a leverage point for the green economy.

The case will be led by NINA.