Empowering change: Impact Report 2024

Conviction Equities Boutique
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Key takeaways

  • While political and societal headwinds regarding climate issues persist, the economic benefits of low-carbon solutions are stronger than ever.
  • By investing in companies offering enabling technologies, we are indirectly supporting solution providers in renewable energy, electric vehicles, and power storage technologies, improving our portfolio’s overall impact and return potential.
  • Public markets play a crucial role in helping companies scale up their efforts, which is essential for addressing global environmental challenges through the widespread adoption of new technologies and operating practices.

Empowering change: Impact Report 2024

Over the summer of 2024 , we wanted to hear from our audience to explore pressing issues in sustainability and investments. Through a series of polls on LinkedIn that were open to all, we sought insights on topics ranging from the importance of environmental versus social challenges, the potential influence of political elections and a shift to the right on investment behavior, and what kind of role the finance industry can play in addressing environmental and social challenges.

The poll results revealed a shared belief that both environmental and social issues are equally vital (58 percent of respondents1), reflecting our commitment to a balanced approach in impact investing and an overarching goal of having a positive impact in both areas.

When asked whether the political shift to the right affects their clean energy investments, answers were more varied. The majority of respondents2 (32 percent) said they don’t act on election outcomes, while others said they’d wait for more clarity (27 percent) or that they plan to reduce or increase investments (20 percent, respectively). While we agree that political noise can be distracting, we remain focused on the substantial momentum for sustainable change that transcends party lines.

Our last question revolved around the finance industry’s role in helping to alleviate climate challenges and social disparities. Some 42 percent3 believed the finance industry plays a crucial role in both, while 35 percent said it can’t solve real-world issues. We firmly believe that it plays a critical role in addressing both issues.

In this sixth annual Impact Report for our Global Environmental Change strategy, we delve into how our Impact Investing team navigates these complex dynamics and hope to showcase how the finance industry can contribute to effecting change. We detail our methodologies and results in investing in low-carbon solutions and smart infrastructure, underscoring our belief that meaningful change is not only possible but essential as we remain committed to fostering a greener future.

 

 

 

 

 

 

1. Question: “Which area of impact investing is most important to you?”, poll published July 19, 2024, 26 votes. Answers: Social (27%), Environmental (15%), They’re equally as important (58%).

2. Question: “How does a shift to the right affect your clean energy investment plans?”, poll published August 24, 2024, 44 votes. Answers: Plan to increase investments (20%), Plan to reduce investments (20%), Wait for more clarity (27%), Don’t act on election outcomes (32%).

3. Question: “How important is the finance industry in helping to tackle climate or inequality issues?”, poll published September 12, 2024, 31 votes. Answers: Plays a crucial role on both (42%), More impactful on social side (10%), More impactful for environment (13%), Can’t solve real-world issues (35%).

About the authors
dudle_pascal

Pascal Dudle

Head of Impact & Thematic Investing, Lead Portfolio Manager
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About the authors
dudle_pascal

Pascal Dudle

Head of Impact & Thematic Investing, Lead Portfolio Manager
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