Sunday Brunch: What can we learn from the Tobacco Master Settlement Agreement
Back in 1998 the four largest US tobacco companies, and 52 state and territory attorneys general, signed what was boringly known as the Master Settlement Agreement. It changed the tobacco industry. Will social and environmental cases now working their way through the courts bring similar changes ?
Sunday Brunch: Which climate challenges can the private sector actually fix?
We know that we need to act on climate mitigation but who should be taking the lead? I argue that the mitigation challenges primarily need a policy/societal response. There is still a lot that companies can do. But in many cases society must take the lead.
Sunday Brunch: Can we rely too much on one technology ?
Much of the time it's right to argue that we need to focus on 'everything, everywhere, all at once'. But not always. Sometimes, when we look at sustainability challenges from an investor perspective, expecting new technology to solve our problems is too risky.
Sunday Brunch: What does mispricing climate risk mean?
Are financial markets mis-pricing climate related risks? This is not just about global issues such as the macro impacts of climate change. It's just as much (if not more) about the very specific risks that individual companies face. It's these individual risks we also need to clearly identify.
Sunday Brunch: Using less concrete by design
While decarbonising cement (and hence concrete) production should be our ultimate aim, in the meantime we can help by using less new concrete. Part of this will be from using other materials such as engineered timber, but we can also use less of it, while still achieving our design aims .
Sunday Brunch: Sustainability, market pricing and canaries
Many people think that financial markets are not yet fully pricing in climate and other sustainability risks (& opportunities). How might this change? One possibility is time. The other is that early warning systems like insurance and debt costs kick in - these could be our canary in the coal mine.
Sunday Brunch: fruit & vegetables and the very real climate risk
Disruptions to supply chains create a financial hit for companies in the food industry, especially if their competitors had planned ahead. Climate change will lead to disruptions, especially in countries already suffering heat & water stress. It's better to start planning for this now not later.
Sunday Brunch: what do asset managers really care about?
For asset managers generating financial returns for their clients is not enough. It's more important that they 'beat the index'. Which means that as well as caring about valuation, they also really care about what 'the market' thinks. This can fundamentally change their response to sustainability.
Sunday Brunch: Climate adaptation is bigger than you think
It's easy to forget that as well as investing in renewables and EV's, we also need to invest to protect our economy (or company) against the negative impacts of climate change - what is commonly called climate adaptation. This is mostly to keep people cool, and to keep agriculture producing.
Sunday Brunch: Returning to burbing cows
We know that ruminants (mostly cows) are responsible for a big chunk of our methane emissions. As investors, who should we expect to act to reduce this, and how? And if it's not companies, should they still prepare for a lower meat/dairy future?
Sunday Brunch: Forecasting is tough but necessary
Like most of you I am rubbish at forecasting. Which is a problem if you believe (as I do) that the future will not look like the past. Extrapolating history can result in us investing in industries in decline. The good news is that we only need to get the direction of travel right, not the detail.
Sunday Brunch: a financial perspective on sustainability
The financial implications of the sustainability transitions are becoming more important than ever. Over the last few years the pushback to sustainability has grown. We argue that the best counter is using the logic of long term value creation. Plus of course good old fashioned political lobbying.
