Creating sustainable finance and business
Incentivising private sector engagement to support sustainable finance
Theme lead: Professor Amil Dasgupta
To reach net zero, the global economy will have to close a substantial investment gap measuring in the trillions of dollars. Such a gap cannot be filled by the public sector alone and the role of private sector is critical. Understanding the conditions necessary to stimulate suitable private sector engagement and capital flows is now a critical need. We will undertake fundamental sustainable finance research and policy-relevant work on how to incentivise the private sector to help finance the transition to net zero emissions.
Activities within the creating sustainable finance and business theme
Initiative in Sustainable Finance
Our sustainable finance work will focus on the incentives of key players in the private sector to engage with the net zero transition. In particular, we will study the incentives of asset owners, asset managers, corporate leaders, and policy setters in supporting the net zero transition. This is an emerging and fundamental area of research that requires foundational analysis with the potential for significant and lasting thought-leadership and impact. Work will be carried out both at the "micro" level -- understanding investor preferences, the role of asset managers, and incentive provision inside corporations – and at the "macro" level – focussing on the conditions needed to blend public and private sector finance together to achieve desirable transition outcomes.
Professor Amil Dasgupta and Professor Tom Gosling are leading the Sustainable Finance Initiative in partnership with the Financial Markets Group.
Sustainable Entrepreneurship Hub
LSE Generate’s Sustainable Entrepreneurship Hub leverages LSE’s world-renowned global network to gather the best and brightest talent across entrepreneurial start-ups, academia, global corporations, and policymakers to develop cutting-edge sustainability solutions. The portfolio covers a wide range of solutions, including circular economy, waste reduction, emissions management, and biodiversity conservation and regeneration.
The Long Life Venture Builder (LLVB) with LSE Generate is a global and intergenerational collaboration uniting innovators, researchers, and changemakers across four continents to reimagine the future of longevity. The LLVB is a three-month, equity-free programme supporting early-stage founders developing systems level, innovative solutions for healthy ageing and the future of work. The programme helps founders rapidly validate their ideas through weekly workshops, hands on support from coaches & mentors, and access to research & intergenerational networks.
Through these activities - and more - this theme contributes to the overarching mission and aspirations of GSoS. We will provide in-depth research, inclusive engagement, and innovative solutions in incentivising private finance, which is central to a rapid transition to a sustainable future.
Amil Dasgupta is Professor of Finance and Director of the Financial Markets Group at LSE.