CLIMATE FINANCE DAY, HOW TO SHIFT THE TRILLIONS.
THAT’S A CATCHY TITLE RIGHT? SO LET ME EXPLAIN WHAT CLIMATE FINANCE DAY IS, AND LET’S TALK ABOUT THE TRILLIONS IN PRIVATE CAPITAL. BEFORE WE TALK ABOUT WHAT CLIMATE FINANCE DAY IS LET ME TELL YOU WHAT IT IS NOT. THE PARIS AGREEMENT ON CLIMATE CHANGE IS A VERY BIG DEAL AND INVOLVES TRILLIONS IN GREEN FINANCING WITH FUNDS FROM PRIVATE CAPITAL. THIS PARIS AGREEMENT HAS NOTHING TO DO WITH MOVING FUNDS FOR HERITAGE BONDS, CHINESE BONDS, MEXICAN BONDS, RODRIGUEZ FOUNDATION FUNDS, TRN’S, USN’S, GCR, OR ANY OF THE OTHER VARIOUS SCAMMING SCHEMES OUT THERE. SO WHEN YOU HEAR THE PARIS AGREEMENT ON CLIMATE CHANGE COMING OUT OF THE MOUTHS OF PEOPLE IN THE DINAR/BOND VILLAGE I ASSURE YOU 1000% THEY HAVE NO IDEA WHAT THEY ARE TALKING ABOUT AND I CHALLENGE ANY OF THEM TO A DISCUSSION ABOUT THIS AGREEMENT BUT THIS WOULD NOT BE A FAIR CHALLENGE BECAUSE THEY HAVE DONE NO RESEARCH ON THIS SUBJECT AND ARE SIMPLY USING THIS AGREEMENT AS JUST ONE MORE HOPIUM BUBBLE THEY ARE TRYING TO GET YOU TO PIN YOUR DREAMS TO. DO NOT DRINK THE JUICE!!
THE PARIS AGREEMENT IS VERY IMPORTANT TO OUR FINANCIAL SYSTEM AS WELL AS THE GLOBAL SYSTEM. WE KNOW THERE ARE TRILLIONS IN PRIVATE CAPITAL WAITING TO GO TO WORK AND TODAY WE ARE GOING TO TALK ABOUT CLIMATE FINANCE DAY. WHAT IT IS AND WHY IT’S VERY IMPORTANT.
THE FIRST EVER CLIMATE FINANCE DAY WAS MAY 22 2015 AND IT WAS ORGANIZED JOINTLY BETWEEN THE EUROPEAN INVESTMENT BANK AND THE CAISSE DES DEPOTS IN FRANCE. THE TOPIC OF THAT DAY WAS HOW TO MOVE THE TRILLIONS. CLIMATE FINANCE DAY BRINGS TOGETHER THE FINANCE INDUSTRY AND GOVERNMENTS TO SHOWCASE SOLUTIONS AND REVIEW CURRENT DEBATES, HIGHLIGHT SUCCESSFUL POLICIES AND MAKE COMMITMENTS TOWARD LOW-CARBON ECONOMY. MAY 22 2015 THE DISCUSSIONS WERE HOW CAN INSTITUTIONAL INVESTORS TRANSITION THEIR PORTFOLIOS TO ALIGN WITH THE GREEN AGENDA? HOW CAN THE FINANCE INDUSTRY BRIDGE THE GAP BETWEEN SUPPLY AND DEMAND OF GREEN ASSETS? AND HOW CAN THEY DEVELOP INNOVATIONS FOR A SUSTAINABLE FINANCIAL SYSTEM THROUGH POLICIES, REGULATIONS AND STANDARDS? HERE LET’S LOOK AT THE ROUND TABLE DISCUSSIONS.
ROUND TABLE 1
How Can Institutional Investors Bring their Portfolios into Line with 2°C?
Some of the world’s largest institutional investors, including a growing number of pension funds, national wealth funds and insurance companies, are considering whether or not to exclude assets of the most carbon emitting businesses from their portfolios. Others are choosing to influence company strategy using shareholder engagement tactics in order to encourage these organizations to better define their climate objectives. Still others are deciding to measure the carbon footprint of their portfolios in order to find ways of gradually reducing their carbon emissions, either by active asset management or by using low carbon indices. Many organizations are taking a positive approach by choosing to invest in green assets that will help in the transition to a low carbon economy, further proof of the growing awareness of carbon risk but also of the new opportunities that the transition to a low carbon economy will create. The Principles for Responsible Investment (PRI), who, like many organizations, is supporting signatories in their initiatives on climate risk, helped to design this session. It will provide large investors with an opportunity to discuss their climate strategies, for example, What impact does carbon have on the value of the portfolios? How do their strategies influence financial markets and the real economy? Which of those strategies best contributes to the goal of reducing global warming to 2 degrees? Are they relevant to contributing to green growth in developing and emerging countries?
ROUND TABLE 2
Assessing, Financing and Insuring Against Climate Risk
The climate is already changing, creating economic, ecological, and social risks – both real and potential – in developing countries especially, but also in developed countries. Since it assumes risk, the insurance industry is assessing these growing risks very closely, through advanced research and risk management. Extreme natural events are among the risks involved, ranging from sudden occurrences to protracted phenomena, including floods, rising sea levels and droughts. The challenge requires both prevention and adaptation strategies. This session will discuss the issue of climate resilience. It will stress the insurance industry’s role in risk prevention and risk management, addressing the topics of risk-sensitive investments, infrastructure and early warning systems against risks. It will also showcase insurance solutions such as green products for renewables, parametric insurance and risk advisory services. Moreover, in the run up to COP21, the roundtable will show how new partnerships between the financial and public sector could implement the “Agenda of Solutions” for tackling the climate challenge (e.g. the Resilient City initiative, regional pooling mechanisms for risk transfer, index-based insurance, etc.).
ROUND TABLE 3
Finance for Climate Action – Tackling the Investment Challenge
To limit global warming, projects which facilitate the shift to a low carbon economy must be increased and sped up worldwide. Renewable energy, energy efficiency, clean transport, sustainable cities, land use and water management are all areas concerned. However, green projects globally still meet barriers to find funding; a problem which is even more acute in countries facing development challenges. Potential investors often consider project risks or transaction costs to be too high. But tools and financial products which are tailored to shift capital are emerging, both from traditional bank financing and, more and more, from other financing sources. Equally, investor appetite for green assets is increasing, as the development of green bonds clearly demonstrates. Credit analysts are also embedding the climate risk of projects in their assessments. To what extent are green bonds a financing tool to accelerate the transition? Can credit rating leverage a powerful force for change in mainstream finance? How must public funding be tailored to remove obstacles and accelerate climate private financing? How can we blend public and private capital to accelerate the shift? This session involves stakeholders in the financing chain and, in particular, commercial banks issuing green bonds and structuring finance green projects, public banks that create innovative tools to secure and leverage private funding, and rating agencies that assess the quality of bonds issued.
OK SO YOU GET THE IDEA RIGHT? CLIMATE FINANCE DAY IS CRITICAL TO LEARN FROM GLOBAL LEADERS AND RAISE AMBITION SO WE SHIFT THE TRILLIONS. DURING THE FIRST EVER CLIMATE FINANCE DAY THE PARIS FINANCIAL MARKETPLACE PLAYERS ANNOUNCED A JOINT DECLARATION AND WAS SIGNED BY ASSOCIATIONS THAT REPRESENT THE PARIS FINANCIAL MARKET AND THEY OUTLINED 5 KEY POINTS AND DREW A ROAD MAP SHOWING THE INITIATIVES.
THE 5 KEY POINTS WERE TO 1. ESTABLISH A CONSTRUCTIVE AND SUSTAINABLE DIALOGUE BETWEEN THE FINANCIAL COMMUNITY AND BUSINESSES AND GOVERNMENTS. 2. FOSTER INVESTMENTS FINANCING AND INSURANCE PRODUCTS THAT ARE FOCUSED ON LOW CARBON SOLUTIONS AND TECHNOLOGIES. 3. SET UP R&D, INNOVATION AND THE DEVELOPMENT OF CUTTING EDGE TECHNOLOGIES 4. THEY ARE SETTING UP COLLABORATION WITH BUSINESS DO REDUCE THE THREAT AND EFFECTS OF CLIMATE CHANGE AND NUMBER 5. THEY ARE SETTING UP COLLABORATION WITH THE PUBLIC AUTHORITIES AND REGULATORS TO CREATE A FRAMEWORK CONDUCIVE TO FIGHT AGAINST CLIMATE CHANGE.
HERE IS A THE AGREEMENT THEY SIGNED AND HERE IS THE PRESS STATEMENT FROM THE FINAL DAY BACK IN MAY 22 2015
NOW WE LOOK AT CLIMATE FINANCE DAY 2016 NOVEMBER 4TH JUST A FEW DAYS AHEAD OF THE CONVENTION TAKING PLACE NOW IN MOROCCO.
THE MAIN THEME THIS YEAR OF THE SECOND ANNUAL CLIMATE FINANCE DAY WAS MOBILIZING FINANCING IN THE CONTEXT OF THE PARIS AGREEMENT.
THIS YEARS FINANCE DAY TACKLED THE NECESSARY CONDITIONS TO SCALE UP GREEN FINANCING AND THE ISSUE OF MOBILIZING THE PRIVATE SECTOR FOR CLIMATE AGENDA INTERNATIONALLY. IN THE CONFERENCE THIS WEEK THEY ARE TALKING ABOUT TWO MAIN THINGS THE FIRST ONE IS FINANCING SUSTAINABLE AGRICULTURE AND THE SECOND IS FUNDING ENERGY TRANSITION RENEWABLE ENERGY AND ENERGY EFFICIENCY.
THIS YEARS CLIMATE FINANCE DAY WAS REPRESENTED BY INTERNATIONAL INVESTORS DRI’S INTERNATIONAL INSTITUTIONS OPINION LEADERS AND THINK TANKS. ONE OF THE MAIN TOPICS WERE OF COURSE GREEN BONDS AND I WOULD LIKE YOU TO TAKE A MIN TO GET YOURSELF FAMILIAR WITH WHAT THEY REALLY ARE. HERE IS A QUICK READ PDF AND IT CAME FROM THIS YEARS FINANCE DAY.
AND HERE IS SOMETHING ELSE FOR YOU TO READ THIS IS THE INVESTMENT PORTFOLIOS IN A CARBON CONSTRAINED WORLD.
THIS YEARS CLIMATE FINANCE DAY HAD DISCUSSIONS ABOUT WHAT IS NEEDED TO GREEN THE FINANCIAL SYSTEM AND UNLOCK THE POTENTIAL OF GLOBAL FINANCE? THEY DISCUSSED HOW TO KNOW IF IT’S GREEN AND HOW TO CREATE MORE TRANSPARENCY.
HERE YOU READ THE TOPICS THAT WERE DISCUSSED
HERE IS THE CLOSING STATEMENT FOR CLIMATE FINANCE DAY 2016
Organized by Casablanca Finance City Authority, in partnership with Paris EUROPLACE and with the active participation of the African Development Bank, this “Official COP22 Event” helped deepen understanding on crucial issues for the future of climate finance, such as key success factors for green financing scale-up, mobilizing private capital flows, or green bonds as innovative financing instruments in and for Africa.
During the conference opening, several significant announcements in line with the implementation of the Paris Agreement were made.
Mr. Mohamed Boussaïd, Minister of Economy and Finance, stressed the importance of the Moroccan financial sector’s involvement, announcing that a dedicated climate finance roadmap had been established, and will be presented at the COP22 in Marrakech. He added that the Kingdom of Morocco was currently working, with the support of the World Bank, to launch an initiative dedicated to climate change sensitive fiscal policies, while noting that: “the financial resources necessary for the transition to low carbon economies are available, and that the instruments and ad hoc tools remain to be implemented.”
THE CLIMATE CHANGE CONFERENCE STARTED ON THE 7TH OF NOVEMBER AND IS STILL GOING ON IN MOROCCO UNTIL THE 18TH OF THIS MONTH. HERE IS A LINK IF YOU WANT TO READ WHAT THE CONFERENCE IS ALL ABOUT.
THESE ARE TIMES OF BIG CHANGES IN THE FINANCIAL WORLD. IF WE JUST LOOKING AT THE GOALS OF THE PARIS AGREEMENT AND THE REQUIREMENTS OF BANKS UNDER THAT AGREEMENT IT SHOWS BIG CHANGES GOING FORWARD. BANKS ARE REQUIRED TO ADOPT POLICIES THAT PROMOTE CLEAN ENERGY. OFFICIALS FROM DOZENS OF COUNTRIES ARE GOING THROUGH THE PARIS AGREEMENT IN THIS CONFERENCE TO MOVE FROM TALK TO IMPLEMENTATION NOW. SUSTAINABLE LIFESTYLE, CLIMATE JUSTICE, FINANCE, TECHNOLOGY TRANSFER ARE THE HIGHLIGHTS OF THIS CONFERENCE.
AS WE GO FORWARD WE WILL UNDERSTAND GREEN BONDS AND WE WILL BE WATCHING THE BANKING SYSTEM MOVING INTO GREEN FINANCE. MANY EXISTING LOANS WILL BE WRITTEN DOWN AND REFINANCED INTO GREEN FUNDING. THIS IS HOW THOSE TRILLIONS OF PRIVATE CAPITAL WILL BE PUT TO USE.
IF YOU WANT TO UNDERSTAND THE PARIS AGREEMENT AND YOU WANT TO WATCH THE NEW FINANCIAL SYSTEM EMERGING GREEN THAN YOU STAY RIGHT HERE AND WATCH IT WITH US.
PLEASE STAY AWAY FROM THE BIG MOUTH HYPE PUMPING GURUS OUT THERE THAT HAVE LESS THAN A 0% UNDERSTANDING OF HOW THE FINANCIAL WORLD WORKS. THIS GREEN FINANCE IS A BIG MOVEMENT AND ONE YOU WILL DO WELL TO UNDERSTAND. DO NOT LET THIS MOVEMENT BE TARNISHED WITH HYPE FROM THE VILLAGE PLEASE. AND DO NOT PIN YOUR DREAMS AND AMBITIONS TO THIS AGREEMENT BECAUSE IT HAS NOTHING WHAT SO EVER TO WITH ALL THE SCAMMY THINGS I MENTIONED ABOVE.
STAY WISE STAY EDUCATED AND STAY AWAY FROM THE JUICE..LOVE TO ALL….ML