joint discussion with An Economy that Works  – kindly hosted by Gowling WLG

What actions can asset owners, and the investment consultants who advise them, take to encourage a longer-term approach throughout the investment chain?

There has been a damaging financialisation of the economy over the last few decades. Financial markets have become too complex and removed from their original purpose. For example, the trade in foreign exchange is now 100 times the trade in goods and services. These changes have led to a reduction in investment in critical areas such as housing and infrastructure.

There are already quite a few initiatives looking at model asset owner mandates. This discussion focused on the obstacles to asset owners adopting these approaches, and practical steps for how they can be overcome.