Sustainable finance best practices showcased at confab

Sustainable finance and the wider ESG segment have benefited from increased investor interest and increased use of best practices by asset managers, attendees at a financial industry conference have heard.

Since the first Luxflag Sustainable Investment Week was held in 2019, “great progress has been made” in Luxembourg’s financial industry “in terms of sustainable finance best practices,” Denise VossDenise Voss, chair of Luxflag, commented during this year’s edition of the event.

Indeed, a central aim of the conference is for Luxflag members to “showcase best practices” with each other, Isabelle DelasIsabelle Delas, CEO of Luxflag, noted in her opening remarks.

Greater attention

When Luxflag issued its first label, in 2006, “sustainable finance was still a niche,” Yuriko BackesYuriko Backes, Luxembourg’s finance minister (DP), recalled in a video address. It was “a long way from the attention it gets today.”

Today ESG and sustainable investing principles represent one of the strongest growth opportunities in the investment fund sector, conference attendees heard in a separate session.

Backes said that Luxembourg’s government has been supporting the segment, pointing to a public-private partnership to de-risk investment in sustainable finance projects.

Luxflag Sustainable Investment Week 2022 was organised by the fund labelling agency Luxflag and held at Mudam from Monday 17 October to Wednesday 19 October.

The conference consisted of 23 sessions over the 3 days, Delas stated.