State of transition in the Sustainability Revolution

SUSTAINABILITY has become a central issue for investors and will increasingly determine which companies will win or lose over the long-term, while driving future returns for investors.

At the heart of the sustainability challenge is the complex interplay between human development, economic growth and our biophysical realm. Economic growth is absolutely essential to improving human well-being and addressing societal challenges. However, for an economy to be sustainable, that growth needs to be inclusive, and cannot have a negative impact on the environment and natural resources that we all rely on to survive.

The evolution of human dynamics has played a significant role in tipping us beyond the point of sustainability. The global population, for example, has more than doubled since the 1970s from 3.7 billion to 7.6 billion in 2018, and is rapidly aging. The size, structure and wealth of the global population have very significant implications on our social infrastructure and our planet as demand for decent living standards, clean air and water, education, healthcare, social security, and consumer goods and services increases.