INVE ‘ DAR LESS THE
Jose Co-C
ESG | GREEN FINANCE
THE CEO PERSPECTIVE
Jose Maria Ortiz , is co-CEO and Head of Impact Investing at Palladium Group – a global impact firm that works with corporations , governments , investors , communities and civil society in 90 countries , and has corporate offices in Brisbane , Canberra , Jakarta , Sydney , and Pune .
“ CEOs should be delighted with the opportunity to tap into these resources to finance growth and transformation of their companies ,” says Ortiz . “ Now , CEOs can prepare interventions to decarbonise their value chain , launch new products and services that appeal to the green finance market , launch new facilities , and tap into cheaper capital .
“ Only CEOs that work in highly polluting industries and do not have the imagination or the capacity to launch green initiatives should be worried about the advantage that more innovative competitors will have by using that cheaper green capital .”
And there is plenty of that green capital around – growing more than 100 times in the last decade .
When it comes to the biggest challenges facing green finance , Ortiz says the very word ‘ green ’ can create confusion , and could actually erode investor confidence . He says investors are already talking about ‘ dark green ’ to differentiate from “ less green products that have the label but not the substance ”.
“ The beauty of green finance is that it transcends sector and geography ,” says Ortiz . “ The options are so vast in theme , geography and risk return that it caters to both impact and mainstream investors .
“ With a US $ 30 + trillion market for green finance , the possibilities are endless .”
106 December 2023