Profit

Financial markets and the concept of capitalism have been with us for a long time. Until recently, the profit motive at the heart of the capitalist economy has often been seen as the pursuit of financial gains at the cost of all else. Yet in the right hands, this desire to make money can also be a powerful mechanism to bring about real change.

Sustainability has long been somewhat of a minor concern – the realm of NGOs and a handful of rare visionary businesses. Some were motivated by facts and science, others by ideological conviction. But for whatever reason, these pioneers were right. Now with the fight against climate change, deforestation and waste growing more urgent, it is becoming more important every day.

It means sustainability is here to stay, and as more people recognize the necessity of it, the concept has found its way into the world of investing. For some, this feels like a contradiction, as many investors are only in it to make a fast buck. Long-term investors like Robeco hold a different view. We believe that using the profit motive to effect major change is not a bad thing. What’s more, in this day and age, it can prove to be the catalyst for the changes needed in how we consume goods and services. In fact, only those companies that take sustainability seriously today will be making money tomorrow. This is now the responsibility of our industry – to drive those much-needed changes with investment cash.

At Robeco, our pursuit of long-term gain is a way to identify and support the ambitions of companies with a true vision for sustainability. We believe in the power of the financial system. And we believe a financial system that backs sustainable business practices will eventually persuade all market participants, of whatever stripe, to put their money into companies that are helping to build a better planet.