How was it for you?
As the dust settles on another impactful gathering, we're taking a moment to reflect on last week’s #RAOtheAmericas25 conference, convened at the stunning offices of Clifford Chance in New York City …and it wasn’t just the weather that was HOT, HOT, HOT!
Once again, RAO brought together leading minds in the world of responsible investing, offering a vital platform for discussion, debate, and the crucial exchange of ideas. We hope this brief review offers valuable insights into the recent #RAOtheAmericas25 conference.
This year's conference took place at a particularly interesting juncture for responsible investing. With global volatility on the rise and policy landscapes continuing to evolve, the themes explored at #RAOtheAmericas25 felt more pertinent than ever. The overall atmosphere was one of cautious optimism, tempered by a clear recognition of the challenges ahead.
Key Takeaways & Discussions:
A dominant theme throughout the day was the evolving narrative around ESG (Environmental, Social, and Governance) investing, particularly in the US market. There were certainly "mixed messages" on this front, with some attendees noting a slowdown in public enthusiasm for ESG, often attributed to what has been termed "greenhushing." However, a strong counter-narrative emerged, suggesting that while the public fanfare may have quieted, the underlying investment activity in responsible capital continues, albeit with less overt promotion.
This sentiment was echoed in various sessions, with discussions often circling back to the idea that responsible investing is moving beyond a mere trend and is becoming increasingly ingrained in fundamental investment strategies.
Another significant area of focus was the need for "clarity and frameworks" to navigate the complexities of responsible capital deployment. Experts discussed how to lead through uncertainty, identify leverage points for positive change, and ensure capital is directed to optimal parts of a system. The emphasis was on practical application and tangible impact, rather than just aspirational goals. Hear directly from just a few key people:
Gregory Elders, Director, Head of North America, Canbury Insights
Insightful conversations (and great views) at the Responsible Asset Owners Global Symposium! It was valuable to hear critical discussions on navigating the current environment and to hear from leaders shaping the future of responsible investing.
Pedro Guazo CEO, UN Pension Fund
It is always a pleasure to spend time with knowledgeable, committed and passionate people like Scott E. Kalb and Lane Jost. Thank you Adrienne Lawler for getting us together.
It was a very nice space to take time to reflect on lessons we have learned as asset owners, and the investment industry as whole, and the options we have to keep pursuing to collaborate with the real economy, policymakers and stakeholders.
And also to remember how challenging it has become to model the long-term systemic risks and opportunities in our portfolios and how we can leverage academic research.
Talked about selecting managers based on their balance as a value add
We’re kind of in trouble. Our policy makers & regulators are letting us down. Systematic risk requires systematic solutions.
I strongly believe that sustainability should be viewed as a financial asset and opportunity, as well as a risk management tool
Challenged the basis of his panel by asking if ‘The tipping point of biodiversity’ is hyperbole or real?
Talked about Circularity being key to profitability, sustainability and security. Ignoring it is leaving value on the table.
Told delegates they should ensure DE&I is factored in for its opportunity, not as a tick box exercise. William J. Kelly, CAIA Kelly talked about the interest in changing the acronym as a solution but the panel and the room said they’re not sure how that helps shift the dial.
Said that Gold is likely to be a beneficiary when it comes to lower inflows. ‘The gold Guy’ said they like to look at Gold through the lens of its ability to respond to circumstances. (Ed: Tracked Gold prices on this chart go from $1,738.30 in Sept 2022 to $3,318.70 as of today)
Dialling in from Canada: Feels the finance sector is not playing the role it should be in reaching net zero but rather, is still investing in fossil fuels, a stranded asset.
Watch all recordings here
Notable Moments & Speakers:
The conference featured a diverse array of speakers, from seasoned investment professionals to policy experts. The agenda promised a "dynamic program for leaders within responsible investing," and it certainly delivered on that front.
What we thought, as Organisers:
The generous hosting by Clifford Chance provided a perfect environment for open & dynamic conversations throughout the day, continuing on into the evening drinks reception. With such extraordinarily high level speakers, it would be impossible - and unwise - to pick out just one so instead let me tell you about the mood; cautiously optimistic….committed to staying the course, despite shifting political will, albeit not shouting about it. People seems to feel that the market was not short of opportunities, it was just a question of developing and delivering on those opportunities. There was a great deal of interest in Risk Management being part of portfolio strategies and specifically, sharing Risk through collaborating partnerships, rather than going it alone.
The dynamic keynote from Elizabeth Burton at the start of the day shone a light on how Risk v Opportunity should be viewed, there were lively conversations throughout the day, with follow-on meetings being arranged and cards exchanged.
Looking Ahead:
The conversations at #RAOtheAmericas25 underscore the importance of ongoing responsible investing as a means to shaping a sustainable future. While challenges remain, the commitment to leveraging capital for positive impact was palpable. We anticipate these discussions will continue to evolve, and we look forward to seeing how the insights shared in New York translate into action across the responsible asset owner community, specifically at #RAOEurope25 on Oct 21st & 22nd Please register your interest in attending, speaking or sponsoring here.
Thank you for being a part of our community.
Sincerely,
The Team at RAO Global Symposia
