While reverberations of the surprise US electoral outcome will unfold for quite some time, at Cornerstone Capital Group we wanted to take a moment to consider the landscape in which we and our clients operate in the field of sustainable finance.
As policy proposals and realities evolve, and while uncertainty and volatility will persist, there is no doubt that macro and structural trends in the US and Global markets are bigger and more powerful than any administration or regulatory regime over the long term. At Cornerstone we believe that the private sector will power progress in meeting the world’s imperatives including addressing everything from climate change, water scarcity, income inequality, gender equity, and healthcare provision, to infrastructure building. We believe that shifts in the political landscape aside, the rising influence of “universal owners” and advisors with a fiduciary duty to their clients will also continue to move the needle on corporate social responsibility.
We argue that promoting the health of the capital markets through transparency and collaboration will empower the innovation necessary to meet any challenge. Our discipline of deeply integrating the analysis of the pivotal Environmental, Social & Governance (ESG) factors into all investment processes allows for the alignment of our clients’ values and investments. And in seeking those Managers and those Companies in which we place our faith over the long-term, we will aspire to corporate excellence and sustainability. We will remain in relentless pursuit of material progress towards a more regenerative and inclusive global economy.
And we will continue to leverage the power of positive investing. We will stand by those who seek to accelerate the flow of funds into sustainable investment strategies as they demand competitive financial returns. We will highlight the essential nature of an inclusive society where rifts between people and communities are repaired. We offer this view that this shift in political landscape is a call to action … to focus the power of thoughtful and responsible capital markets facilitating solutions to the most critical imperatives of our time.
Click here for a pdf of our note.
Erika Karp is the Founder and Chief Executive Officer of Cornerstone Capital Inc.