Stewardship and the transition to a sustainable economy was the theme for London Stock Exchange Group and FTSE Russell forum on 30th of May 2018. The forum considered the role of asset owners as stewards and assessed the current state of the sustainability transition.
Mark Makepeace, CEO of FTSE Russell and LSEG, opened the forum by highlighting the fact that ‘companies which do not deliver benefits to society will not succeed’. This was underlined by the following speaker Hiromichi Mizuno, Chief Investment Officer of Japan’s Government Pension Investment Fund, who stated ‘GPIF is getting rid of short-termism investment’. The talks throughout the forum provided a very positive outlook towards the future of a sustainable economy. Not only do investors look for more sustainability data, transparency and dialogue, there are now increased regulations and frameworks leading towards a sustainable economy. Amongst the latter are the European Union Directive on the disclosure of non-financial and diversity information by certain large undertakings and groups (Directive 2014/95/EU) as well as the development of the United Nations Sustainable Development Goals released in 2015.
The shift towards a sustainable economy is happening and the Travel & Tourism industry will need to follow this transition rapidly, it otherwise also risk not only penalties but also become unattractive for both investors as well as employees. A new study found global tourism accountable for 8% of carbon emissions, around 3 times greater than previous estimates. The study considered not only transport and hotels but also indirect emissions, for example the food you eat on holiday and the products you use. With an annual growth of over 4% there is an increased need to engage one of the world’s fastest growing industries in responsible practices. Considerate Hoteliers is looking forward to being part of the stewardship, transition and engagement of the Travel & Tourism sector.