A Word From Our President
The first half of 2008 ended with a mixed performance. Although very reserved in terms of changes in the equities markets and the economic environment in general, we are still very confident in our investment choices. While consumption and mass retail are starting to show signs of weakness, we believe that the decorrelation of our themes (healthcare, environment) in relation to cyclical sectors should become increasingly clear as earnings are released, particularly if the economic was to worsen…
The environnemental sector in particular is today benefiting from an extraordinarily dynamic level of development, linked in part to surging demand in emerging countries. A trip to China by our managers in June enabled us to see the Chinese authorities’ real determination to get things moving in the field. With ambitious objectives set for local utilities, a guaranted buybac syqtem that is similar to France’s, and a five-year plan at national level, the Chinese wind market looks set to boom! Indeed, 46% annual growth is expected each year on this market.
However, the strong development of renewable energies in these rapidly-growing countries is part of a much broader issue: energy independence, changing consumption patterns, demographic explosion, galloping urbanization, etc. Social, societal and environmental aspects are intimately linked today. The recent hunger riots are flagrant proof of this!
On a global level, we will only be able to meet the challenges of sustainable development within the framework of a solidarity-based approach. The current dysfunctions all represent sources of potentiel conflicts that might hinder economic growth in the future. Among these dysfunctions, the explosion in inequalities that is accompanying economic groxth does not seem to be sustainableover the long term… Particularly since these inequlities will be heightened by the consequence of global warming (desertification, epidemics, migrations, etc.).
That is why, on June 16th 2008, we launched Champlain Solidarité, an SRI shared return fund, thanks to which we offer to pay back 75% of the income availablefor fistribution to associations fighting exclusion in its various forms. According to the latest Finansol survey,
the solidarity savings market grew by 33% in 2007, while 42% of French people would be willing to invest for an equivalent return.
As a management company specialized in sustainable development, we have a duty: anticipatin what, having meaning today, will create wealth tomorrow…
Jean-François DESCAVES
CEO and Fund manager director
