Our current economic system is based on linear growth and consumption. Our planetary resources however are limited and running out. To keep our planet liveable for both current and future generations, the prevailing paradigm is untenable and asks for change. This, in short, sums up the need for a sustainable economy, to which the financial sector can be a driving force.
A growing need for new methods...
Neo-classical finance theory finds it difficult to address sustainability challenges adequately, since the prevalent model is designed to mainly maximize short-term results and to address mostly shareholders. One of the biggest challenges for the financial sector will be to take a more integrated and long-term approach. To truly add value in the long run.
...To make the transition towards a sustainable economy
There is a growing need for new methods to incorporate sustainability into asset pricing and valuation. Moreover, corporate governance is making a transition towards long-term value creation as the ultimate goal for corporates. How can research and education promote to such practice? RSM has established a platform to foster thought-leadership and excellence in this field.
Addressing these questions requires an interdisciplinary approach. Not only research in finance is needed, but the fields of economics, sustainability, strategic management and law are also connected. Rotterdam School of Management works in close cooperation with the economics and law faculties at Erasmus University to deliver such integrated thinking.
A hub to provide meaninful debate and insights
The purpose of this platform is to develop new insights through research and education in close collaboration with leading sustainable finance players in the industry and academia. The platform brings together academic faculty research, PhD, Master and Bachelor students, MBAs and executive education, NGOs and professionals in the financial industry.
What banks can learn from students about value and risk.
Read Dr Emilio Marti’s blog about his research on activist hedge funds.
Maurits van der Wijk, student assistant, interviews expert in sustainable finance Willem Schramade.