What drove me into this field? It was a two-fold realization 10 years ago. First, my students’ genuine frustration with greenwashing in sustainable finance struck a chord. As an educator, I felt compelled to dive deeper and provide them with the authentic knowledge they craved. Their thirst for truth and desire to create positive change was contagious. I encouraged them to write master thesis on impact investing, to explore the field, with internships at Crédal for example. This was in 2014, a year before the SDGs were officially established and before the Paris Agreement on climate change at COP 21. I guess we were all waking up and wanting to act.
So the second driver that really catalyzed my interest in impact finance was my growing alarm over the climate crisis. I recognized that harmonizing scientific evidence, data analysis, and ethical principles was the only way to tackle such a monumental challenge. Finance had to be reimagined as a powerful force for environmental and social good. And ESG was not delivering on that promise.
And that’s where IFB comes in. This is a community determined to align profit with purpose and impact. My transition from mainstream finance’s ESG to impact investing allowed me to combine my financial expertise with a holistic, multidisciplinary approach to complex global issues. IFB provides the ideal platform to contribute my knowledge while learning from others.
One of my priorities is to foster the engagement and participation of students in the impact finance ecosystem. I believe that empowering the next generation is crucial for driving innovation and ensuring the longevity of our mission. In time, it would be great if IFB could encourage impact finance master’s thesis projects by offering internship opportunities linked to this topic. Additionally, we could explore the possibility of establishing a PhD or master’s thesis prize to recognize and celebrate outstanding contributions from students in this field – once there are enough of them.
My background as a finance professor is obviously rooted in education. I firmly believe that knowledge and learning are essential catalysts for positive change — that is what matters to me. My doctoral dissertation was on the mainstreaming of ESG. After that, I partly transitioned from mainstream finance to impact investing, while staying very connected to the asset management industry. I am not alone in this journey. Who would have thought that 10 years later many faces I encountered in ESG would end up joining forces on this quest for impact? It just goes to show that perspectives can evolve when the need for change becomes undeniable.
Embrace the interconnected nature of systems – social, environmental, economic. Don’t operate in silos. Actively seek out diverse perspectives and forge collaborative partnerships. This integrated mindset is crucial for developing truly sustainable and comprehensive solutions.
My advice to young researchers more specifically is that there is so much more than green premium to study in impact investing. Research should focus on its transformative power of the financial system, and under what conditions this can take place.
I’m deeply grateful to be on this journey alongside all of you. By pooling our passion, expertise and commitment to a just future, we explore impact finance’s potential for transformation. With collaboration and open minds, we can continue to explore innovative solutions and impactful initiatives that redefine the role of capital in society.
