The NYSE gives up on its goal of controlling the nation’s natural resource

Paresh Jadhav

10 months ago

The New York Stock Exchange (NYSE) is a global marketplace that connects companies and capital sources in order to foster innovation. We help companies grow by providing an accessible market with trusted information and relevant tech.

In 1792, 24 stock brokers came together under a buttonwood tree on Wall Street and signed an agreement to trade stocks and bonds under it. Today the New York Stock Exchange is the world’s biggest exchange, trading over 1 billion shares every day.

The NYSE’s Plan to Control America’s Natural Resource

The Securities and Exchange Commission is considering whether to grant permission for the New York Stock Exchange (NYSE) to offer an innovative new type of investment product. They propose listing companies that manage natural areas for sustainability purposes – effectively giving wealthy investors an ability to place a monetary value on environmental services provided by public lands; these would be called natural asset companies (NACs). NYSE is counting on public support of this idea.

Intrinsic Exchange Group, an exchange listing consultant that advises both public and private landowners on NAC creation, developed this proposal. Natural Asset Corporations have the legal authority to “manage natural assets and ecosystem services through sustainable enterprise operations”.

NACs could take private lands off the market and also oversee federal lands that serve multiple purposes. NACs would need to protect wildlife habitat, restore and sustain environmental health and prevent nonsustainable activities like mining, grazing or modern agriculture on these federal lands.

Investors will be able to purchase shares of NACs in an initial public offering (IPO), with stock values fluctuating depending on how successful each company is. NACs will need to meet several requirements, including publishing and disclosing environmental, social and governance (ESG) policies as well as mandatory reports to promote sustainable long-term performance.

In its proposal, the NYSE asserts that nature’s value has been widely ignored in our financial system and this has caused rapid degradation of ecosystem services, such as clean air, water supply, flood protection, productive soils for agriculture and climate stability as well as wildlife habitat. Stewards of natural landscapes often struggle to use financial capital sustainably while extractive development often brings economic returns for their management efforts.

The New American Conservation Corporations (NACCs), being touted by the NYSE as an opportunity for investing in conservation, are being seen by critics as an attempt by wealthy foreign and domestic investors to seize control of American lands by purchasing rights that allow for their sustainable management – effectively shutting out other uses for those resources.

America faces an imminent threat and the NYSE must immediately withdraw its NAC proposal before it’s too late. The SEC is accepting comments until January 18th on its proposal.

Address your letter to the SEC using these suggested talking points as your guide:

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