Victoria Arnold
Institutional Sales Germany – BlackRock
What does Sustainable Finance mean to you?
Victoria Arnold: Simply put, sustainable finance is about steering financial resources in order to promote and shape a sustainable economy and society (considering all types of sustainable aspects).
The question is: How can we steer the financial resources that are needed for the real economy and its transformation in a way that they support and accelerate this transformation.
For our clients, who often pursue long-term goals, the main concern is to better understand and actively manage sustainable risks, such as climate risks, which are investment risks. We support them in this. Sustainable finance also means understanding the opportunities of this change in order to make this transformation a reality.
What is the key to successfully developing the sustainable finance movement?
Arnold: A crucial ingredient is that everyone becomes engaged on this topic, every state, every company, every single one of us. Companies must embark on this transformation path. We need banks and institutional clients who want to promote this transformation with their capital, and consumers who care for and demand sustainable business practices.
We also need a political framework that makes this possible. Above all, we need global cooperation, because if only Germany makes the transition, then unfortunately that is not enough. We manage global portfolios for our clients worldwide. So, we need global standards.
We are at the beginning of a change in our economy and society. This change requires a lot of openness, courage and a pioneering spirit. Personally, I believe that we have to create a framework in which you can honestly question things and find pragmatic solutions that can and are allowed to evolve over time. Many technologies, infrastructure or services that we need for a climate-neutral economy or sustainable business practices do not yet exist.
Finally, we must not forget to involve the people for whom this transition can bring some change.
What is BlackRock role in this?
Arnold: BlackRock’s goal is to help more and more people achieve financial well-being. We have a fiduciary duty, i.e. the money we manage is entrusted to us by our clients. And this also means responsibility. In addition, a large proportion of this money, which we manage on behalf of our clients, is pension money, i.e. long-term investments that are intended to help them enjoy their retirement. Long-term preservation is our priority, and it is therefore our task to accompany our clients on their way to a climate-neutral economy. This means helping them to identify and manage physical and sustainability risks, but also to create solutions that are geared towards transforming the economy and can seize the opportunities of this transition.
What does that mean? We are developing our Aladdin Climate platform, designed to help our clients assess physical climate and transition risks.
“In my professional life, I have the privilege of helping our clients to integrate sustainability aspects into their investment strategies. My goal is to ensure that change is not only talked about, but also enacted.”
What is your personal goal?
Arnold: My personal goal is to make a contribution so that future generations can live in a world that is just as worth living in as we do today. To this end, I ask myself: what am I able to contribute, at what level and to what degree?
In my everyday life, I pay attention to how I live and consume.
In my professional life, I have the privilege of helping our clients to integrate sustainability aspects into their investment strategies. My goal is to ensure that change is not only talked about, but also enacted.