Driven by a mission. How young investors are shaping the future.
The purpose of wealth can differ widely. It can be managed exclusively for returns. Or it can be used to help solve the world's problems at the same time. Members of the next generation of influential families speak about their mission – and how they are about to achieve their goals.
Fernando Scodro is a third-generation member of an entrepreneurial family in Brazil. Some years ago, his father sold his company to open a family office. And Fernando had a mission: to develop the impact investing arm of the family office. "There was a gap between the values of my family and how the family wealth was invested. The concept of impact investing – creating value for shareholders and the wider society at the same time – helped to close that gap."
Members of the next generation – so-called millennials – are united in their desire to leave a mark. They have a strong sense of collective responsibility for the well-being of the world. And it is no different for the members of the Young Investors Organization (YIO). The YIO is a network of over 1,500 members from entrepreneurial families across the world, who are next in line to inherit their families' wealth or business. Fernando has been the YIO's president since 2017. "We are driven by a mission: to find a way through our investments to help solve the world's problems."
A responsibility to think long-term.
"If you want to be a good business person or a good person, you need to think long-term," says YIO vice president Louise Huterstein, who joined the organization at the age of 18. For her, this is particularly true for family businesses. "We don't have the pressure to deliver immediate results. We have a mandate, in a sense, to think generationally."
On joining the YIO, Louise was able to quickly deepen her knowledge of investing thanks to a thorough exchange among like-minded people who opened her eyes up to the world of angel investing. "I always believed it was possible to do good and be successful simultaneously, so once I learnt about impact investing, I knew where I needed to concentrate my efforts. But executing on this idea was scary, having never done a direct investment before. It took another member to support and encourage me, and I am forever grateful for that," she says.
Shaping the future together. Connecting today's and tomorrow's investors.
Together with three other board members and Viola Steinhoff Werner, General Manager and Founder of the YIO and Head of Credit Suisse's Global Next Generation and Families department, Fernando and Louise are steering today's agenda of the YIO. Both say that networks where peers can exchange ideas about investment topics and explore new investment concepts are crucial in order to jointly shape the future.
In this spirit, the YIO hosted its first event at the WEF together with The ImPact and its sponsor Credit Suisse in 2018, where they discussed with keynote speakers Valerie Rockefeller, Justin Rockefeller and Iqbal Khan how to create impact that affects a billion people. Stay tuned for the next YIO event at the WEF 2019 which will focus on the importance of cross-generational dialogue in solving the world's biggest problems.