Women's commitment to sustainable investment offers opportunities

Unsustainable business practices come at the expense of shareholders and stakeholders - but also at the expense of society and the environment.

At our recent event which aimed specifically at women, the audience heard how sustainable investments must be viewed not just in the context of environmental protection but also with social factors in mind.

Nathalie Haym, senior client portfolio specialist at Lombard Odier, told the "Investieren von Frau zu Frau" event that poor business practices such as having a lack of governance or operational negligence would eventually reflect on shareholders but later fan out into societies in general.

Some 35 participants at the event heard details of our commitment to sustainable investing, which we believe is the future. Investing in companies committed to a sustainable future will benefit all of society in our opinion.

Haym told the conference that changes in society through population growth, scarcity of resources, global warming, social inequality and digitisation entail risks but also offer the opportunity of rewards. As an example, it has been estimated that by 2040, $100trn will need to be invested in infrastructure and, as many governments cannot afford to do so, it is expected that public-private partnerships will increase.

At Lombard Odier, our investment approach is based on a three pillar principle, which analyses in detail the sustainability of financial models, business practices and business models of companies, the audience heard.

Sandra Müller, senior relationship manager at Lombard Odier, said the yearly event has been growing in popularity. "The fact that there was so much interest in the event that we had to put women on the waiting list shows the increasing awareness and interest in the subject of sustainability - women seem to be particularly committed in this respect," she said.

The amount of private wealth held by women has been growing substantially of late. A report from the Boston Consulting Group found the figure increased from $34trn to $51trn in the five years to 2015. It is expected that they will hold $72trn by next year.

Women's investment choices have shown them to be particularly interested in social and environmental matters. Recent studies have found that a majority want to invest in organisations that promote social wellbeing. This is also shown to be a trait amongst millennial investors who value the social background of companies highly when choosing where to invest.

Both groups - women and millennials - have been found to invest with a clear view of making a positive impact on society and not simply to create profit.