Institutional investors that manage US$ 16 trillion called on Brazil to take effective measures to protect the Amazon rainforest from deforestation and burning.
"We are concerned about the financial impact that deforestation may have on investment companies, potentially increasing reputational, operational, and regulatory risks. Considering the increase in deforestation rates and the recent fires in the Amazon, we are concerned that companies exposed to potential deforestation in their Brazilian operations and supply chains face increasing difficulty in accessing international markets," reads the note, which was supported by 230 investment funds.
Members of the funds sector, who spoke to Folha on condition of anonymity, considered the initiative atypical but relevant - a warning to Brazil because of the size of many of the funds involved.
The portfolios under group management add up to a volume of resources that exceeds China's GDP, for example, which is in the region of $ 13 trillion. The largest on the list is French Amundi, Europe's leading fund and ninth in the list of the largest in the world. Amundi manages â¬ 1.4 trillion, which is roughly equivalent to Brazil's GDP.
The letter was also signed by the British manager Aberdeen, which administers â¬ 562 billion, Australia's Macquarie Asset Management, with a portfolio of â¬ 306 billion and Canadian CDPQ ( QuÃ©bec de dÃ©pÃ´t et placement du QuÃ©bec), which has â¬ 198 billion.
Translated by Kiratiana Freelon