Live version edit of TEDxTableMountain 2013 presentation, first speaker for a good day @TEDxTableMtn with some inspiring ideas and speakers #TEDxTM2013 @esgarchitect

1. Investing as if the future matters
Graham Sinclair
@esgarchitect

2. Global investors
What ESG issues?
Mining sector
Plenary on Africa and investment at PRI in Person 2013 in Cape Town, South Africa, 1 October 2013. PHOTOCREDIT: Graham Sinclair/SinCo archive 2013

3. Global entrepreneurs
Metals collector on the streets of Accra, Ghana, May 2011. PHOTOCREDIT: Graham Sinclair/SinCo 2013.

4. Long term investment is
“marshmallow test” for adults
SOURCE: Joachim de Posada: Don't eat the marshmallow! FILMED FEB 2009 • POSTED MAY 2009 • TED2009

5. 31-Jul-70
30-Apr-71
31-Jan-72
31-Oct-72
31-Jul-73
30-Apr-74
31-Jan-75
31-Oct-75
31-Jul-76
30-Apr-77
31-Jan-78
31-Oct-78
31-Jul-79
30-Apr-80
31-Jan-81
31-Oct-81
31-Jul-82
30-Apr-83
31-Jan-84
31-Oct-84
31-Jul-85
30-Apr-86
31-Jan-87
31-Oct-87
31-Jul-88
30-Apr-89
31-Jan-90
31-Oct-90
31-Jul-91
30-Apr-92
31-Jan-93
31-Oct-93
31-Jul-94
30-Apr-95
31-Jan-96
31-Oct-96
31-Jul-97
30-Apr-98
31-Jan-99
31-Oct-99
31-Jul-00
30-Apr-01
31-Jan-02
31-Oct-02
31-Jul-03
30-Apr-04
31-Jan-05
31-Oct-05
31-Jul-06
30-Apr-07
31-Jan-08
31-Oct-08
31-Jul-09
30-Apr-10
31-Jan-11
31-Oct-11
31-Jul-12
30-Apr-13
Total
Compound growth
Monthly Investments Compounding
$150,000
$100
$300
$100
$112,500
$75,000
$37,500
$0
NOTES: In US$. Assumption monthly real growth rate 0.33% = 4% annual real growth rate. Terminal value @ 31 October 2013:
US$100 = US$ 136,488 from 1 August 1970, US$300 = US$139,151 from 1 May 1990, US$100 uncompounded = US$51,900 from 1
August 1970. SOURCE: Sean Smith/RisCura and Graham Sinclair/SinCo, November 2013

6. Unless...
NASA's Cassini spacecraft has captured Saturn's rings and our planet Earth and its moon in the same frame Earth, which is 898 million miles (1.44 billion
kilometers) away in this image, appears as a blue dot at center right; the moon can be seen as a fainter protrusion off its right side. An arrow indicates their location
in the annotated version. The other bright dots nearby are stars. 22 July 2013, 23:16:30. Source: NASA/JPL/SSI/CICLOPS

7. Anthropocene Era
Caterpillar 785C Off Highway Truck. English: OceanaGold mining truck working the Macraes mine, Otago, New Zealand.
Date5 September 2009 photographed by Benchill, copyleft: Multi-license with GFDL and Creative Commons CC-BY-SA-3.0

8. Externalities
A cape fur seal pup swims around apparently unconcerned with the plastic ring around it¹s neck. However the seal is still growing and the plastic is not, leading to the
inevitable and painful death of this animal. Plastic pollution in our seas is a growing problem and this is not an isolated incident. Photographed by Jean Tresfon at Duiker
Island, Hout Bay 2013, on a Nikon D300 in a Subal Underwater Housing with 2 Sea & Sea Strobes. 1/250 F9 ISO400. underwaterimages.co.za.

9. Big Investors?
© 2012 Zapiro (All Rights Reserved). Printed/Used with permission from www.zapiro.com

10. Speaking up
NGO posing questions during Global Reporting Initiative stakeholder meeting for launch of South Africa Focal Point at Johannesburg Stock Exchange, February 2013.
PHOTOCREDIT: Graham Sinclair/SinCo archive 2013

11. More ESG data
//
ESG on Bloomberg
ESG UNIVERSE
ESG data coverage reported by Bloomberg LP, November 2013. 20.8% global coverage based on 10,807 companies of total number of listed companies in country
with an average score of 18.6, includes only companies with active trading status at 5 October 2013. Environmental scores based on 4,379* companies
with an average score of 20.7. Social disclosure scores based on 5,706* companies with an average score of 23.1. Governance disclosure scores based on 9,936*
companies with an average score of 45.7. SOURCE: Bloomberg LP, November 2013.

12. Investment legacy
Lance Armstrong, in maglia gialla di leader della classifica generale, all'arrivo dell'8a tappa del Tour de France 2003, Sallanches - L'Alpe d'Huez.13 July 2003.
Source: Gawain78 Wikimedia Commons.

13. Better performance possible
Relative ESG Index Size
Relative ESG Index Performance
150
9%
1%
75
90%
NOTES: US$ 16,717,754m n=1,152 (World n=793;
EM n=327; S.A.n=32) at 13 November 2013. Free
float market capitalization adjusted.
SOURCE: MSCI Inc November 2013.
Sep 30, 2013
Jul 31, 2013
May 31, 2013
Mar 29, 2013
Jan 31, 2013
Nov 30, 2012
Sep 28, 2012
Jul 31, 2012
Mar 30, 2012
May 31, 2012
Jan 31, 2012
Nov 30, 2011
Sep 30, 2011
Jul 29, 2011
May 31, 2011
Mar 31, 2011
Nov 30, 2010
Jul 30, 2010
Sep 30, 2010
May 31, 2010
Mar 31, 2010
Jan 29, 2010
Sep 30, 2009
Nov 30, 2009
Jul 31, 2009
May 29, 2009
Mar 31, 2009
Jan 30, 2009
Nov 28, 2008
Sep 30, 2008
Jul 31, 2008
May 30, 2008
Jan 31, 2008
Mar 31, 2008
Nov 30, 2007
Sep 28, 2007
0
Jan 31, 2011
South Africa ESG Index
Emerging Markets ESG Index
World ESG Index
World ESG Index
Emerging Markets ESG Index
South Africa ESG Index
NOTES: Assuming US$100 invested from 28 September 2007 thru 31 October 2013. Standard indices. Price
return. Calculated monthly. SOURCE: MSCI ESG, November 2013.

14. Trusted stewards
Key guard at Muizenberg beach, Cape Town, South Africa in September 2013. PHOTOCREDIT: Graham SInclair/SinCo archive 2013

15. Investing as if the future matters
Graham Sinclair
@esgarchitect

16. Long term investing as if the future matters
1. Investment is about saving for the future. The longer you invest, the more
the investment takes advantage of compounding of positive returns, by
keeping costs low and assets diversified across asset classes and regions
over economic cycles. Unless you invest for the longer term...
2. Investment decisions include all material factors that estimate the future
earnings of the firm. That means all financial facts, including environmental,
social and governance (ESG) factors, matter. You need trust in the
investment ecosystems and investment professionals in New York,
Singapore, Dubai, London, or Johannesburg. Unless you demand ESG...

17. Investing as if the future matters
Graham Sinclair
@esgarchitect
graham.sinclair@sincosinco.com
Linkedin.com/in/grahamsinclair
Skype: graham_sinclair
+27.81.87.87.332 RSA
+1.484.802.9908 USA
+1.802.332.6887 SkypeIn
sustainable investment consulting

18. SinCo designs ESG
architecture for long term
sustainable investment
that matters.
•
With fellow CSR Africa keynote and sustainability legend,
Gro Harlem Brundtland in Nigeria, May 2012.
SinCo - sustainable
investment consulting - is a
specialist sustainable
investment advisory boutique
formed in February 2007. We
have no other focus, we have
no conflicts of interest. We
build investment conviction
and competence for our
clients using ESG factors in
investment ecosystems.
Sustainable
Investment
Consulting
Discussing the impact and future of the PRI with Kofi
Annan in The Netherlands, May 2008.
•
Debating the progress of ESG in Africa and the role of
private equity at the JSE in South Africa, August 2012.
SinCo has a track record of
building robust answers to
tough questions in
sustainable investment. Our
clients have included
institutional investors, UN
agencies and international
NGOs, think tanks and
foundations and stock
exchanges.
www.sincosinco.com
@SinCoESG
info@sincosinco.com

19. AfricaSIF.org is a new, strategic step in facilitating investment in Africa that purposefully integrates environmental,
social and governance (ESG) factors.
Africa Sustainable Investment Forum is an independent, Pan-African, not-for-profit network, knowledgebase and
advocate promoting investment in sustainable development across the continent. Launched in June 2010, the
AfricaSIF.org Project is run by volunteers building a network of institutions and individuals promoting sustainable
investment in Africa by investors in public, private and philanthropy sectors across asset classes, countries and
stakeholders from our platform at www.africasif.org.
AfricaSIF.org defines "sustainable investment" as "an approach to investment in any asset class in Africa where
environmental, social and governance (ESG) factors are proactively integrated at any stage of the investment life cycle."
You are invited to join our all-volunteer AfricaSIF.org project leadership team, or sign up as an individual member, or
join your organization as an institutional member from 2014. Join us at africasif.org/support.
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