Sustainability and circularity are concepts starting to be part of the new investment landscape. A new generation of investors is moving to address the conundrum created by the original capitalist model whereby unwanted externalities were left for governments or others societal stakeholders to deal with. Responsible and sustainable investments have been taking roots in many developed countries as old business models are unsustainable. 

Despite the backlash against ESG as a label, sustainability in investing is enduring. As funding for sustainable infrastructure, the remaking of supply chains, and the emergence of new technologies that are being tested in developed countries move to emerging countries a new set of hurdles appear.   The physical, cultural, societal, legal, and economic realities of developing nations create a high bar to clear for traditional investors from developed markets. 

A new approach to public and private governance is necessary to accommodate these investments, that are ultimately funded by savings from developed nations. Navigating the path to successful capital deployment in VC, PE, PD, and public markets to develop sustainable investments requires understanding and consensus from all stakeholders involved, from the host countries and their regulators to financial institutions and the investors themselves on how these governance frameworks should be designed. 

Our panel of experts explored how sustainable investors in Europe have rolled out their business models to many emerging countries, how they have dealt with public and corporate governance issues in their investment vehicles, and what are the lessons learned along the way to improve successful outcomes.