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NordSIP Insights – Child-Lens Investing Handbook

Our children aren’t having the childhood we had. Pros and cons, of course. On the one hand, they have more opportunities for learning, the world is at their finger tip; so much is accessible, cheaper and faster. That is true not only in our parts of the world but in others too, even if they are, still, lagging far behind in may cases.

On the other hand, the technological progress we have witnessed ever since the internet came about has accelerated so fast that we don’t have any proof of concept regarding the effects on our children.  How will their minds be affected? Will they be able to relate to others? Will their mood be altered forever? There are no elders to guide us in this new world. It is a virgin land, full of possibilities but also pitfalls. Mental health issues are affecting the younger generations at an unprecedented rate. Inequality, meanwhile continues to increase.

Companies are also slow to adapt. The corporate world has had to content with climate change and the requirements for adaptation. Children, however, are rarely considered an important stakeholder. They cannot weigh in, their voices muted. While they represent a huge business opportunity, they are not the ultimate decision makers. Is regulation the only thing that will protect our future generations from relentless profit-maximising?

Luckily, some investors have already found their way into the field of Child-Lens Investing. In this handbook, you will even find an example where a strategy focused on future generations provides a welcome diversification opportunity for investors in search for more than just financial returns.

Active ownership is also key in achieving progress  throughout the value chain. Whether children are consumers or working for suppliers, they need protection from the companies we end up investing in. The issue is that the links are sometimes tenuous and it takes a lot of effort to uncover the levers of control to first uncover and then improve the sometimes unacceptable truth.

While non-profit organisations are an essential cog in a field such an children’s rights, investors have both complementary knowledge and effective tools of influence that can build on the groundwork they provide. Without collaboration, efforts on either side would be far less effective. We hope that his handbook will inspire you to reach out to the organisations included herein to accompany you along your own journey. Their contact details are listed at the end.

Flip the publication below, or download here.

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