Australian Ethical Foundation awards $1.5 million in grants for nature and climate justice

Australian Ethical Head of Foundation Kate Saunders

The Australian Ethical Foundation today announced that it has awarded $1.5 million in grants to organisations focused on nature and climate justice.

In August 2025, Australian Ethical Investment announced a record annual distribution of $2.5 million to its Foundation for grants supporting organisations and initiatives advancing climate justice and resilience, unlocking capital for the protection and restoration of nature, and driving place-based nature solutions. This record-breaking year brings its total donations to over $13 million since 2000.

Each year, Australian Ethical Investment allocates 10% of its annual profits* to its Foundation. This innovative funding model channels resources into high-impact projects that create scalable solutions for the urgent climate challenge, acting as a catalyst for sustainable change.

This year, the Foundation reset its strategy to focus largely on nature and climate justice. It is specifically targeting systemic interventions that drive change and seeking opportunities to provide catalytic and strategic funding to initiatives and organisations focused on nature-based solutions, including many that are First Nations-led.

Australian Ethical Head of Foundation Kate Saunders said, “We’re proud to announce a strategic shift in our funding priorities, with a focus on nature protection and restoration, climate resilience and justice, and a commitment to supporting First Nations-led organisations and projects wherever possible.

World Economic Forum analysis (2020) found that over half of the world’s total GDP, approximately US$44 trillion in economic value generation, is moderately or highly dependent on nature and its services. This includes industries such as construction, agriculture, and food and beverages¹.

“Despite the urgency of the environmental crisis, less than 4% of philanthropic giving in Australia goes towards the environment, with only a small proportion of this dedicated to nature. The degradation of nature threatens our food, water, air, health, and life as we know it. If left unchecked, we will see an acceleration of climate change and biodiversity loss, and an increase in the frequency and severity of extreme weather events. These impacts will be catastrophic for our communities, ecosystems, and economy, and will disproportionately affect vulnerable populations, especially First Nations communities.” Said Saunders.

A total of $1.55 million has so far been allocated to grant recipients including: Australian Democracy Network, Environmental Justice Australia, Accounting for Nature, Indigigrow, ACOSS, Environs Kimberley, Original Power, Environment Centre NT, Groundswell Major Giving Circle, WWF Australia, Martuwarra Fitzroy River Council and Places You Love Alliance.

The remaining $1 million will be allocated by the end of FY26, giving the Foundation opportunity to establish additional strategic partnerships and provide responsive funding to organisations and initiatives throughout the year.

The new Foundation strategy aligns closely with Australian Ethical’s broader stewardship, corporate engagement, regulatory advocacy and policy activities. In addition, Australian Ethical’s private market investment team’s mandate includes natural capital investments within its investment universe.

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