Institutional investors are moving into nature at a scale not seen before, according to Gaining Ground: State of Private Investment in Nature 2026, a report from Forest Trends and The Nature Conservancy. Average deal sizes led by these investors rose from $70 million in 2017 to $167 million in 2025, and institutional deal counts tripled over the decade.
Private capital committed to nature projects reached more than $14 billion in 2025, roughly fivefold the $2.8 billion recorded in 2016. More than $60 billion has been deployed over the decade, drawn from 1,731 transactions, with over $180 billion targeted for the years ahead. The report also draws on survey data from 70 institutions representing $207 trillion in assets under management.
The composition of investment has shifted. Sustainable agriculture accounted for 68% of allocations to nature-based projects between 2016 and 2020, and 36% in 2024 and 2025. Capital has spread into ecological restoration, regenerative agriculture, and nature-based carbon.
“This report shows that institutional investors are investing in nature,” said Jennifer Morris, CEO of The Nature Conservancy, adding that scaling the market “will require more durable policy signals and stronger demand for products like high-quality verified carbon and sustainably produced commodities.”
Latin America has drawn over $15 billion, around 28% of global nature capital over the decade. In April 2026, BTG Pactual’s Timberland Investment Group closed a $1.24 billion regional fund, the largest reforestation vehicle of its kind. Africa and Asia remain comparatively underfunded.
Nature-based carbon is drawing renewed interest as demand signals firm. Deal count rose from 7 in 2016 to 41 in 2025. The Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) enters its mandatory phase in 2027, and Science Based Targets initiative signatories face a 2035 requirement to purchase carbon credits for residual emissions. Supply of high-quality credits remains thin.