ESG proponents say factoring nature and biodiversity into investment decisions is the next – and arguably most important – frontier in the transition to net zero, but boards and investment teams lack expertise in the area.

Global head or responsible investment at First Sentier, Kate Turner, told The Australian Financial Review ESG Summit on Wednesday that while conceptually, natural capital and the importance of biodiversity was simple to understand, on a financial or economy-wide level, it was more complex.