Raj Thamotheram addresses Academy participants
Raj Thamotheram, Visiting Fellow at the Smith School and President of the Network for Sustainable Financial Markets gave a compelling presentation to Academy participants yesterday.
His talk highlighted the importance of long-term, responsible, and sustainable investing noting that investors have the capacity to influence government, academia and the media. He stressed the need for the organizational integration of responsible investment, but also the need for a systemic evolution to 'investing as if the long-term matters'. With high-impact, low-probability events increasing in frequency and impact, he outlined what investors can learn from BP’s Gulf of Mexico spill. He identified six causative drivers, one of which is shareholder value maximization and showed why these events are “preventable surprises”; and then described how investors could choose to be enablers of sustainable capitalism rather than of the dysfunctional markets experienced today. Making reference to the UN Global Compact, he cited the case of Unilever, which with the Marine Stewardship Council, is tackling the unsustainability of current fishing practices.
Throughout his talk, Raj showed that there is much investors can and should do, to better address global environmental futures today. The lecture was at Brasenose College and was open to the public.