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Identify Material Environmental Risk Across Commercial Banking Portfolios
Inform portfolio risk decisions, screen counterparties, identify mis-priced assets, and support better credit and client-advisory decisions with transparent, financially relevant environmental risk intelligence.

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The Challenge

Commercial banks need a more precise and robust way to identify which counterparties face materially relevant nature risk. Existing approaches often rely on sector-country averages, generic ratings or incomplete asset-location data. Most ignore entity supply chain exposure altogether - where most nature related risk sits. 


Banks need robust and defensible data to meet growing regulatory requirements for nature risk management and internal controls. They also need to support internal teams to identify concentrations and anticipate repricing early, improve capital planning, provide market leading transaction advisory services, and identify specific clients in need of deeper engagement. That creates a common challenge across the bank: translating environmental risk into a language that connects to revenue, costs, and financial risk.

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75% The ECB estimates that 75% of corporate bank lending is to companies that are highly dependent on at least one ecosystem service.*
$38.8b Standard Chartered identified $38.8 billion of total portfolio exposure to potentially nature-sensitive sectors.**
44 % Nearly 44% of bank loans are exposed to conservation areas under the Global Biodiversity Framework.***

How Natcap Helps

Natcap helps commercial banks identify, prioritise and interpret the environmental risks that are most likely to matter across lending and client portfolios.We combine upstream supply-chain intelligence, location-specific environmental analysis and transparent methodology to show which commodities, sourcing regions, activities and counterparties are driving exposure.

The result is a clearer view of where deeper investigation is needed and where risk may have meaningful implications for client performance.This enables commercial banks to:

Screen Environmental Risk

Screen large portfolios to identify material environmental risk concentrations across sectors, counterparties and value chains

Prioritise Material Exposures Prioritise the companies and exposures that merit deeper credit, risk or advisory attention
Translate Risk into Commercial Implications Translate environmental disruption into commercially relevant implications for costs, revenues, operations and resilience.
Support Evidence-Based Decisions Support relationship managers and sector teams with more evidence-based client conversations and provide risk and sustainability teams with analyses that they can understand, challenge and defend.

Explore Our Solutions

From supply chain resilience and financial risk to reporting and strategy, our solutions help organisations understand environmental exposure, prioritise action and make more confident business decisions.
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Get in Touch

Contact us today to learn how we can help accelerate your environmental strategy.