Why Sustainable Finance is Important

The video discusses the importance of sustainable finance, highlighting how traditional finance often overlooks social and environmental externalities. It emphasizes the need to consider long-term performance and the impact of business activities on communities and the environment. The video also explores future market trends, such as increased demand for resources by 2030, and identifies key drivers for incorporating externalities into finance, including shareholder pressure and regulatory requirements.

Why is sustainable finance considered important in the context of traditional finance?

What are some examples of externalities that traditional finance does not account for?

How do market trends related to natural resources and population growth impact sustainable finance?

What role does shareholder pressure play in the incorporation of externalities into finance?

In what ways can companies that address externalities perform better financially?