Global environmental challenges
Video Q + A with sustainability expert Matthew Kiernan
Did you know companies could negotiate lower interest rates by convincing their lenders it pays to be sustainable?
Implementing a sustainability strategy can mean stronger sales, stronger cash flow and reductions in costs, says Dr. Matthew Kiernan, founder and chief executive of Inflection Point Capital Management and author of Investing in a Sustainable World.
Companies must take the lead in telling their financiers how an improvement in environmental performance can bolster their bottom lines, he told the Green Employers 2010 Conference in Toronto this week.
Institutional investors are the slowest of all industrial sectors to wake up to the need for sustainability, Kiernan says.
We asked Kiernan about sustainable investment and the potential impact of the climate bill currently under consideration by the U.S. Senate. Here are his answers.
Q: What are the next steps people have to take to get financiers to take the environment into account when lending money?
Q: What can companies do to get their lenders to take environmental concerns as seriously as they do?
Q: How could the proposed U.S. climate change bill affect how banks lend money?
Q: Could the bill force financiers to account for environmental considerations in their loans or investments?