Interview with Patrick Odier

Patrick, You’ve been the president of SSF for 3.5 years now. Over this time, what has been your personal highlight?

There have been many highlights, but a special one was definitely the 10-year anniversary celebration of SSF in Bern, this year, with the keynote speech of Mary Robinson, Chair of the Elders. Her powerful speech on the urgency of a just transition to a low-carbon economy, the first-hand insights she provided into the detrimental effects of climate change on the livelihood of so many communities – particularly in the global South – and her call to action were quite impressive, even for people who have been working on the topic for a long time. Last week, she was a speaker at the Building Bridges Summit and again managed to leave a strong sense of urgency.

Another highlight are the engaged discussions we usually have during the SSF Board meetings. It is a privilege to work with such knowledgeable and engaged representatives of our growing community and to learn from their various perspectives.

And what was the biggest challenge over this time?

A growing challenge that we cannot deny is the increasing scepticism towards the need to integrate sustainability aspects into business decisions that we see in certain regions or areas of the business world. I don't want to dramatise the development, but especially in the US, the polarised political environment is a barrier to a firm integration of climate goals into institutional asset management. However, in Europe the difficult geopolitical environment has also lead to a reprioritisation in many countries and tightening budgets take their toll on the much needed transition to a low-carbon world.

Regarding sustainable finance, there are market voices which criticise the excessive European sustainable finance regulation to have overcomplicated things. There is definitely the need for simplification and further alignment of different regulations, but I’m positive that we will see progress in this, in the coming years. The Swiss approach with a more principle-based approach is certainly more pragmatic and will support further growth of sustainable finance.

You’re also the Initiator and Chair of Building Bridges. How does this fit with your role as president of SSF?

The two organisations are complementing each other in an ideal way. While SSF has its focus on supporting implementation of sustainable finance in Switzerland, Building Bridges is primarily an international conference with the aim of bringing together players from finance with representatives of international organisations, NGOs and the public sector to discuss solutions and kick-start new initiatives. Last year, Building Bridges was turned into a foundation thereby strengthening the setup and guaranteeing a longterm perspective for the initiative. SSF is represented on the Board with the CEO, Sabine Döbeli, which guarantees the alignment of the strategy of the two organisations and the creation of synergies.

Just last week, the fifth Edition of Building Bridges was held. What’s your key take-away?

It was a truly inspiring week and the energy and engagement both at the Summit and the over 70 events of the action days was impressive and motivating. The fact that Building Bridges was for the first time held back to back with the UNEP FI Global Roundtable contributed to a broad attendance with representatives from 97 countries, around half of them from the private sector and the other half from international organisations and NGOs. Matching the original objective, concrete action stood at the center of many of the events. I also sensed a true commitment to rebuilding a global financial architecture that restores the fabric of society and meets the demands of our new reality. The launch of the Swiss Platform for Impact Investing by SSF is one example of such a commitment and offers a new arena for the large Swiss ecosystem of impact specialists to further work towards impactful finance.

Where do you see the role of private wealth in addressing global sustainability challenges?

A major share of global assets is held by private individuals and these assets can play an important role in addressing global challenges. Hence, private banks have an important role by offering their clients products and services which support a sustainable development. Many Swiss private banks are leading providers of sustainable investment solutions tailored to the needs of different types of clients. Given the large share of wealth that will be transferred to the next generation in the coming years and the fact that younger generations place a much higher importance on sustainability factors in the management of their wealth, it becomes a key competitive factor of banks to have a credible offering for their clients.

Climate change is still the most prominent sustainability topic on the agenda of financial actors. After COP 29, are you still positive that we will reach the 1.5 Degree goal?

As previous COPs, COP 29 was not the great success we were all hoping for, but given the difficult discussions about the distribution of the responsibility we have to accept that we will achieve progress only step by step. The agreement on the new rules for Article 6 on global carbon markets is a critical element for a functioning carbon regime, going forward. Finance will play an important role in facilitating these markets and can contribute to achieve a fast emission reduction.

Where do you see sustainable finance and SSF in 10 years time?

As the expert voice on sustainable finance, SSF remains a valuable and reliable partner for all finance players that aim to fully integrate ESG risks and contribute to positive impact. I’m convinced that 10 years from now, sustainability risks and opportunities will be firmly anchored in all segments of the Swiss financial market. Yet, there will still be the need for an organisation that keeps looking ahead and develops guidance on emerging topics. I am proud that I can keep shaping this development as president of SSF, jointly with our strong team and our great member base.

December, 2024