Capital investment planning was the focus during Evaluating Your Buying Power in Todays Economic Environment, led by Craig Colling, VP of sales for Ascentium Capital. His presentation, held in the Future State Theater (Booth C11330) yesterday, outlined the financial options available in todays marketplace as well as whats going on and what to expect.

Colling pointed out that every business is in a different place. Add a recessionary period and inflationary environment to the mix, and the path to purchase just got more complicated. There are options, though each brings its own set of pros and cons.

As youre negotiating, unless youre a CPA by trade or a lawyer by trade, whatever terms sheet or contract you receive, have your tax adviser look at it, Colling stressed. Make sure its aligned with what you think you agreed to. Its worth an extra day of your life to make sure you understand what youre getting into.

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What to Know About Capital Investment Planning - Printing Impressions

Finding an online broker that genuinely makes a difference is the first step to a long and exciting trading journey. Target Trading is that broker for a lot of people, but what makes it a good choice?

The following review looks for the answers by exploring the key features and functions that make it what it is and putting the platform to the test to see how well it really works.

Before getting into the ins and outs of how things work, here are the must-know details that every potential new user should have.

There are plenty of things to like about Target Trading, but the thing that stands out above the rest is the excellent CFD trading platform. CFD stands for Contracts for Difference and is an alternative to traditional stock trading.

Trading CFDs is a way to (hopefully) benefit from changing share values without actually owning any assets. Target Trading makes the whole thing seem a little more approachable and does a great job of helping people make the most of the opportunities.

It shares helpful tools and techniques backed by strategic support and detailed report tools. Users can streamline their searches by adjusting their parameters based on budget, timeframe, and even risk levels.

Overall, the platform works very well. It is reliable and consistent across various trading portals, and the tools live up to expectations. Occasionally, some of the more substantial reports can be a bit slow to load, but that is the only thing that stands out.

Target Trading goes for an inviting but sophisticated vibe through the design, and it nails it. The only imperfections are extremely minor and are still developing. In general, it looks pretty great and is fairly easy to follow.

Mobile access is always handy to have- especially as a busy trader who is often on the move. Target Trading has a decent mobile app for smartphones and tablets, which does most of the same things as the primary platform. A few things have some ongoing developments, but nothing that stands in the way of making it a useful tool.

It can be downloaded in the relevant app stores for Android and Apple devices. There is no charge, and users should input the same credentials they use to log in on the desktop. Just bear in mind that each account can only log in to one device simultaneously.

Yes, it is. The security protocols live up to industry standards and are taken seriously across the platform. All data is protected by encrypted software- as are all the transactions managed through the platform.

Target Trading is a subscription-based platform. It involves a monthly payment (several options available) and some other costs depending on the account type. Withdrawal fees and commissions are applicable in most cases, but the exact costs vary.

They can- whenever they want to. There is a small fee, which is fairly standard for the industry. Digital wallets and bank transfers are the two possible options- both of which only take minutes to arrange.

It can take up to 24 hours for funds to transfer, although crypto withdrawals are usually faster.

The summary is this: Target Trading is a well-rounded and impressive platform that offers a great range of services and investment opportunities. It is simple enough for beginners to use comfortably- and advanced enough to keep up with the more experienced users.

Disclaimer: This is a sponsored marketing content.

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Target Trading Review - Unlocking Universal Investment Options - Startup.info

High River, Alberta--(Newsfile Corp. - October 19, 2022) - Further to its previous announcement, The Western Investment Company of Canada Limited (TSXV: WI) ("WICC" or "Western") announced today that its investee, Fortress Insurance Company ("Fortress"), has closed a $5.3 million equity financing. The value has increased from that previously expected due to greater demand from our distribution partners and the execution of a significant new partnership agreement.

-Fortress has entered into a strategic partnership with U.S. based Indemnity National Insurance Company ("INIC"). The partnership includes an equity investment of approximately $1.7 million in Fortress by INIC, and a plan to provide Fortress with the resources and expertise to offer specialty surety products in Canadian commercial insurance markets through a comprehensive underwriting and re-insurance agreement. The partnership agreement has received all governance and regulatory approvals and is now operational.

-Fortress closed its $5.3 million equity issuance which includes the INIC investment, with the balance coming from a small group of value-added distribution and business partners who will contribute to the continuing growth and development of Fortress. The subscription price of $1.72 for each share in Fortress represents an approximate 215% premium to Fortress' June 30, 2022 "book value", and a substantial increase from Western's original $0.85 per share investment in 2019.

Upon completion of the financing, WICC and its original investment partners retain a combined majority controlling interest in Fortress.

WICC CEO Scott Tannas provided the following commentary:

"We congratulate Fortress management on the completion of this important transaction. The partnership with INIC will propel Fortress into the specialty surety market in the mining, energy, and natural resource sectors with a financially strong, expert partner. The $5.3 million aggregate investment from INIC and other value-added partners will provide Fortress with capital, capacity, and growth opportunities for years to come."

Story continues

About The Western Investment Company of Canada Limited

WICC is a unique publicly traded, private equity company founded by a group of successful Western Canadian business people, and dedicated to building and maintaining ownership in successful Western Canadian companies, and helping them to grow. Western's shares are traded on the TSX Venture Exchange under the symbol WI.

About Fortress Insurance Company

Fortress is a fast-growing property and casualty insurer licenced and operating in Canada's western provinces and Ontario. In addition to being a niche capacity provider in the commercial and residential property insurance market, Fortress is focused on the development and provision of specialty insurance products.

About Indemnity National Insurance Company

AM Best A- ("Excellent") rated, U.S. Treasury listed and licensed across a majority of the United States, INIC's team of professionals focuses on supporting some of the country's most critical industries, with a focus on mining, energy and other specialty areas. Its customers range from large publicly traded Fortune 500 companies to private entrepreneurs, and INIC is committed to providing individualized excellence to every one of them.

For more information on Western, please visit its website at http://www.winv.ca

CONTACT INFORMATION:

The Western Investment Company of Canada Limited Scott Tannas President and Chief Executive Officer (403) 652-2663 stannas@winv.ca

Advisory

This news release may contain certain forward-looking information and statements, including without limitation, statements pertaining to the value of Western's investment in Fortress, and the future plans, and growth of returns from Fortress' insurance business. Statements containing the words: 'believes', 'intends', 'expects', 'plans', 'seeks' and 'anticipates' and any other words of similar meaning are forward-looking. All statements included herein involve various risks and uncertainties because they relate to future events and circumstances beyond Western's control. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in Western's disclosure documents on the SEDAR website at http://www.sedar.com. Any forward looking statements are made as of the date of this news release and Western does not undertake to update any forward-looking information except in accordance with applicable securities laws.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/141175

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Western Investment Company Affiliate, Fortress Insurance, Closes $5.3 Million Upsized Equity Offering and Signs Strategic Agreement with U.S. Based...

NEW YORK, Oct. 19, 2022 (GLOBE NEWSWIRE) -- Pzena Investment Management, Inc. (NYSE: PZN) reported the following U.S. Generally Accepted Accounting Principles (GAAP) basic and diluted net income and earnings per share for the three and nine months ended September30, 2022 and 2021 (in thousands, except per-share amounts):

GAAP diluted net income and GAAP diluted earnings per share were $12.8 million and $0.15, respectively, for the three months ended September30, 2022, and $22.7 million and $0.27, respectively, for the three months ended September30, 2021. GAAP diluted net income and GAAP diluted earnings per share were $39.0 million and $0.45, respectively, for the nine months ended September30, 2022, and $63.6 million and $0.76, respectively, for the nine months ended September30, 2021.

1 Foreign exchange reflects the impact of translating non-U.S. dollar denominated AUM into U.S. dollars for reporting purposes.

Financial Discussion

Revenue was approximately $45.2 million for the third quarter of 2022, a decrease of 7.1% from $48.7 million for the second quarter of 2022 and a decrease of 12.4% from $51.6 million for the third quarter of 2021.

There were $0.6 million of performance fees recognized during the third quarter of 2022, compared to $0.7 million of performance fees recognized during the second quarter of 2022 and less than $0.1 million of performance fees recognized during the third quarter of 2021.

Average assets under management for the third quarter of 2022 were $45.4 billion, decreasing 8.3% from $49.5 billion for the second quarter of 2022, and decreasing 13.4% from $52.4 billion for the third quarter of 2021. The decrease from the second quarter of 2022 and the third quarter of 2021 reflects market depreciation.

The weighted average fee rate was 0.398% for the third quarter of 2022, increasing from 0.393% for the second quarter of 2022, and from 0.394% for the third quarter of 2021.

The weighted average fee rate for separately managed accounts was 0.537% for the third quarter of 2022, increasing from 0.523% for the second quarter of 2022 and remaining relatively flat from 0.534% for the third quarter of 2021. The increase from the second quarter of 2022 primarily reflects a shift in asset mix towards accounts that typically carry higher fee rates.

The weighted average fee rate for sub-advised accounts was 0.293% for the third quarter of 2022, increasing from 0.286% for the second quarter of 2022, and from 0.276% for the third quarter of 2021. The increase from the second of 2022 primarily reflects an increase in assets to certain strategies that typically carry higher fee rates. The increase from the third quarter of 2021 reflects an increase in performance fees recognized during the third quarter of 2022. Certain accounts related to one retail client relationship have fulcrum fee arrangements. These fee arrangements require a reduction in the base fee or allow for a performance fee if the relevant investment strategy underperforms or outperforms, respectively, the agreed-upon benchmark over the contract's measurement period, which extends to three years. During the third quarter of 2022 and the second quarter of 2022, the Company recognized $0.6 million and $0.7 million of performance fees, respectively, related to this client relationship. During the third quarter of 2021, the Company recognized a $1.0 million reduction in base fees related to this client relationship. To the extent the three-year performance record of this account fluctuates relative to its relevant benchmark, the amount of base fees recognized may vary.

The weighted average fee rate for Pzena funds was 0.679% for the third quarter of 2022, increasing from 0.672% for the second quarter of 2022, and decreasing from 0.690% for the third quarter of 2021. The increase from the second quarter of 2022 primarily reflects an increase in assets to certain strategies that typically carry higher fee rates. The decrease from the third quarter of 2021 primarily reflects an increase in expense reimbursements.

Total operating expenses were $27.6 million for the third quarter of 2022, increasing from $24.1 million for the second quarter of 2022, and increasing from $23.2 million for the third quarter of 2021. The increase from the second quarter of 2022 and third quarter of 2021 primarily reflects increases in professional fees associated with the ongoing take private transaction and occupancy costs.

As of September30, 2022, employee headcount was 146, increasing from 142 at June 30, 2022, and from 133 at September30, 2021.

The operating margin was 39.0% for the third quarter of 2022, compared to 50.4% for the second quarter of 2022, and 55.0% for the third quarter of 2021.

Other income/ (expense) was expense of approximately $4.5 million for the third quarter of 2022, expense of $7.6 million for the second quarter of 2022, and income of $0.4 million for the third quarter of 2021.

Other income/ (expense) primarily reflects the fluctuations in the gains/ (losses) and other investment income recognized by the Company on its direct equity investments, the majority of which are held to satisfy obligations under its deferred compensation plan. Other income/ (expense) also includes a portion of gains/ (losses) and other investment income recognized by external investors on their investments in investment partnerships that the Company consolidates, which are offset in net income attributable to non-controlling interests.

1 Represents the non-controlling interest allocation of the (income)/ loss of the Company's consolidated investment partnerships to its external investors.

The Company recognized an income tax benefit of $2.7 million for the third quarter of 2022, compared to income tax expense of $2.5 million for the second quarter of 2022, and $0.1 million for the third quarter of 2021. The third quarter of 2022 income tax benefit reflects a $4.5 million benefit associated with the reversal of uncertain tax position liabilities and interest related to unincorporated and other business tax expenses due to the expiration of the statute of limitations. The third quarter of 2021 income tax benefit reflects $2.5 million of such benefit.

Details of the income tax expense are shown below:

Details of the net income attributable to non-controlling interests of the Company's operating company and consolidated subsidiaries are shown below:

1 Represents the non-controlling interest allocation of the income/ (loss) of the Company's consolidated investment partnerships to its external investors.

Take Private Transaction

On July 26, 2022, Pzena Investment Management announced it entered into a transaction agreement to become a private company. The transaction is expected to close in the fourth quarter of 2022, subject to the receipt of requisite approval by PZN stockholders and satisfaction of other customary closing conditions. A special meeting of stockholders to vote on the transaction will be held virtually on October 27, 2022, at 10:00 am ET.

Due to the pending transaction, Pzena will not be hosting a conference call in connection with its third quarter financial results.

Forward-looking Statements

This press release may contain, in addition to historical information, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements provide the Companys current views, expectations, or forecasts of future events and performance, and include statements about our expectations, beliefs, plans, objectives, intentions, assumptions and other statements that are not historical facts. Words or phrases such as anticipate, believe, continue, ongoing, estimate, expect, intend, may, plan, potential, predict, project or similar words or phrases, or the negatives of those words or phrases, may identify forward-looking statements, but the absence of these words does not necessarily mean that a statement is not forward-looking. Such forward-looking statements are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from historical experience or from future results expressed or implied by such forward-looking statements. Potential risks and uncertainties include, but are not limited to, economic conditions in the markets in which the Company operates; new federal or state governmental regulations; the Company's ability to effectively operate, integrate and leverage any past or future strategic initiatives; statements regarding the previously-announced Agreement and Plan of Merger, dated as of July 26, 2022, by and among the Company, Pzena Investment Management, LLC, and Panda Merger Sub, LLC (the "merger") and related matters; the ability to meet expectations regarding the timing and completion of the merger; the occurrence of any event, change or other circumstance that could give rise to the termination of the merger agreement; the failure to obtain Company stockholder approval of the transaction or the failure to satisfy any of the other conditions to the completion of the transaction; risks relating to the financing required to complete the transaction; the effect of the announcement of the transaction on the ability of the Company to retain and hire key personnel and maintain relationships with its customers, vendors and others with whom it does business, or on its operating results and businesses generally; risks associated with the disruption of management's attention from ongoing business operations due to the transaction; significant transaction costs, fees, expenses and charges; the risk of litigation and/or regulatory actions related to the transaction; and other factors detailed in the Company's Annual Report on Form 10-K, as filed with the SEC on March 9, 2022 and in the Company's Quarterly Reports on Form 10-Q as filed with the SEC. In light of these risks, uncertainties, assumptions, and factors, actual results could differ materially from those expressed or implied in the forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date stated, or if no date is stated, as of the date of this release.

The Company is not under any obligation and does not intend to make publicly available any update or other revisions to any forward-looking statements to reflect circumstances existing after the date of this release or to reflect the occurrence of future events even if experience or future events make it clear that any expected results expressed or implied by those forward-looking statements will not be realized.

PZENA INVESTMENT MANAGEMENT, INC.

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION(in thousands)

PZENA INVESTMENT MANAGEMENT, INC.

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS(in thousands, except share and per-share amounts)

PDF available:http://ml.globenewswire.com/Resource/Download/5455a7a3-e8b0-4544-95ab-5added0ff127

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Pzena Investment Management, Inc. Reports Results for the Third Quarter of 2022 - GlobeNewswire

Among chipmaker stocks, two of the most popular are Advanced Micro Devices (AMD -1.19%) and Nvidia (NVDA 0.70%). Over the past few years, these stocks have been excellent investments, with each significantly outpacing the broader market.

Unfortunately, the strong performance seen in these two stocks has fallen off a cliff in 2022. Both are trading down 60% for the year. Some investors wonder if they should sell. Other investors might wonder if now is the time to establish a position in these stocks.

Let's dive into what made these two stocks drop, and see if either is worthy of buying and which might be the better buy if both qualify.

AMD and Nvidia are often seen as competitors because their businesses tend to overlap. But each has a few business segments where they don't compete head-to-head.

Nvidia's biggest segment is its GPUs (graphics processing units), although it has some CPUs (central processing units) and software products as well. AMD is a bit more balanced between its GPU and CPU lines, but it also has an embedded-semiconductor segment, thanks to its Xilinx acquisition earlier this year.

Both companies see massive opportunities in the growing use of data centers, and as long as this economic tailwind is blowing, each should benefit. In the second quarter (Nvidia's Q2 ended July 31 and AMD's ended June 30), Nvidia and AMD experienced data center growth of 61% and 83%, respectively.

GPUs are also used to mine cryptocurrencies, and with the crashes of several major currencies, mining these tokens has become unprofitable. That caused the demand for GPUs to plunge, and Nvidia cut the cost of several of its units to ensure inventory didn't pile up as it did during the 2018 cryptocurrency crash.

Both businesses are also involved with the highly cyclical gaming industry, which got Nvidia in trouble in the second quarter. Nvidia posted a 33% drop in gaming sales over last year's total, whereas AMD's gaming sales rose 32% year over year. When I first saw this discrepancy, I thought, "How long can AMD outlast Nvidia in terms of growing its gaming segment?" As it turns out, at least another quarter.

On Oct. 6, AMD previewed its third-quarter earnings to get ahead of what it knew would be a considerable revenue miss. Nvidia did the same thing when it experienced a massive revenue miss in the second quarter; however, the reasons for its miss are different.

AMD expects 45% and 14% growth in data center and gaming, respectively. So AMD doesn't see the same gaming weakness as Nvidia. But where it is seeing pressure is in its client segment. AMD's client products consist of consumer PC processors and GPUs that you'd find at the store, and CEO Lisa Su said in the press release with the announcement, "The PC market weakened significantly in the quarter."

The client segment will post a 40% year-over-year revenue decline in the third quarter, which will significantly affect overall revenue, since the segment accounts for about 18% of AMD's total sales. But overall sales are still expected to rise 29% year over year, despite a $1.1 billion miss. So while AMD had a big miss, it is still solidly growing.

Nvidia is still in its third quarter, so investors must stay on the lookout for a similar preview. But if management makes such an announcement, it likely isn't because it had a blowout quarter. Management expects about $5.9 billion in revenue in the third quarter, which is down 17% year over year. However, analysts believe it will come in lower than this, with the average projection at $5.82 billion in sales.

If you were presented with two companies, one growing at a 30% rate and the other shrinking at a projected 17% rate, which would you choose? I'd expect many investors to choose AMD on this point alone. AMD is also a cheaper stock than Nvidia by a significant margin when it comes to price-to-earnings and price-to-sales ratios.

AMD P/S ratio. Data by YCharts.

While a direct comparison has some caveats (Nvidia's gross margins are 10% to 15% higher than AMD's on average), Nvidia doesn't seem like it should trade at more than double the valuation of AMD (on a price-to-sales ratio).

While I'm usually an Nvidia bull, the stock doesn't reflect enough of the potential bad news, whereas AMD is pretty cheap.

I think AMD is a great buyand has a significant long-term opportunity. I also believe in Nvidia's opportunity, but the stock doesn't have enough pessimism baked in yet.

The rest is here:
Is AMD a Better Investment Than Nvidia Right Now? - The Motley Fool

By Scott Petersen, San Luis & Delta-Mendota Water Authority

Investment in improved water storage, like the B.F. Sisk Dam Raise and Reservoir Expansion Project, is an important tool for increasing our resilience to changing rainfall and snowpack patterns, said Federico Barajas, Executive Director of the San Luis & Delta-Mendota Water Authority.

During the last 10 years, the communities and ecosystems that rely on the water supplied by our member agencies have experienced water whiplash two of the driest three-year periods in Californias history and two of its wettest years. It is clear that we must store water when its available for use in the drier periods we know will come. We value the partnership we have with the U.S. Department of Interior and its agencies, including the Bureau of Reclamation, and look forward to advancing this project that will allow us to become more climate resilient.

See more here:
Statement by Federico Barajas on the Federal Investment in the B.F. Sisk Dam Raise Project - California Ag Today

TORONTO, Oct. 19, 2022 /CNW/ - Founder and Co-CIO of Sionna Investment Managers (Sionna), Kim Shannon, celebrated her firm's 20th anniversary last month. She started the firm in 2002 to provide institutional and retail investors an opportunity to work with an independent manager dedicated to the value investing style.

Sionna Logo (CNW Group/Sionna Investment Managers Inc.)

Kim joined the industry in 1983, and she recalls, "There were very few women in the investment world. Even today, a recent statistic out of the U.S. suggests that female asset managers own less than 3% of all asset management firms and manage only 1% of assets under management."

With the express purpose of being a trailblazer for women investors, throughout her nearly 40-year career Kim has been recognized with countless industry awards. These include the RBC Canadian Woman Entrepreneur (2007), Canada's Most Powerful Women: Top 100 Award (2007, 2017), the Rotman Women in Management Association Top 10 Award (Entrepreneur Category, 2015) and the Rotman Lifetime Achievement Award (2021). This month, Kim will be inducted into the Investment Industry Association of Canada's (IIAC) Investment Industry Hall of Fame.

A few years ago, to broaden the global reach of women investors, Kim co-founded Variant Perspectives, a global group who advocate for better representation of women in asset management. Variant Perspectives' first conference in 2019 attracted Warren Buffett, who addressed the audience with his sage advice.

With a business that has evolved and improved over 20 years, Kim notes "I love what I do, and I'm not nearly done. I am fortunate to be surrounded by a uniquely talented and supportive team and am excited to lead the next chapter of Sionna's success story". Sionna's President and COO, Paul Spagnolo, noted, "When Kim started the firm, Sionna focused on Canadian Equities and is an expert in that space. However, for over a decade, we have been expanding our offerings in the non-domestic universe, and brought on value investing veteran, Co-CIO, Stephen Jenkins, to manage Sionna's U.S., Global and International strategies".

Story continues

Stephen joined Sionna more than three years ago and has a long history with Kim, "Kim hired me as a junior analyst back in the early 1990s and provided me with a solid foundation in value investing, so it was an easy decision to join such a well-respected firm and work alongside Kim again after all those years. Kim and I share a deep conviction in value investing and have been focused on making meaningful enhancements to our process over the last few years, which I believe has contributed to our strong returns."

With the recent turn towards value, Kim and her team have seen top quartile performance rankings over the one-year period to September 30, 2022. Kim noted, "We still have work to do for our clients. But, market history and the abundance of attractive value opportunities we are seeing today give us further confidence in our style of investing".

After the longest and deepest underperformance of value in a century, Sionna believes the value style has a promising future ahead.

About Sionna Investment Managers

Established in 2002, Sionna is an independent, investment management firm. Sionna oversees assets for institutional clients, mutual funds and high-net worth individuals.

Sionna is an active manager and uses a bottom-up, value approach to stock selection. With more than 100 years of industry experience among the portfolio managers, the team focuses on providing downside protection and strives to deliver long-term, above-average returns by applying a disciplined value investing process.

SOURCE Sionna Investment Managers Inc.

Cision

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Sionna Investment Managers Celebrates its 20th Anniversary as one of the Largest Female-Founded, Independent Investment Management Firms in Canada -...

As climate scientists analyze the boiling summer of 2022, Ill eagerly await their findings. How much can we attribute to increased fossil fuel use caused by the economic recovery? And how much can we attribute to the record levels of hot air being spewed by reactionary conservative politicians about environmental, social and governance (ESG) investing?

This summer, Texas began implementing a law requiring state pension funds to divest from firms its comptroller views as hostile to the fossil fuel industry. Setting aside the merits of this policy, its botched rollout provided exactly the kind of regulatory uncertainty that capitalists from both parties agree really kills jobs.

Meanwhile, Floridas Republican governor led a resolution to prevent state pension funds from considering ESG factors in investment decisions. I wonder how this was received by the 14,900 employees of Florida-based energy giant NextEra, which has its 2022 ESG report and promise of a real plan for zero front and center on its website.

ESG investing is hard to define. But, in general, it places other priorities reducing inequality or increasing diversity, for example on equal footing with financial returns. In recent years, ESG has been closely identified in the public mind with the fight against global warming. If you have been living under a rock for the past 10 years, first of all, congratulations on your super low-carbon lifestyle. Second, you might ask: Why is this even a category? Doesnt any business decision include factors other than pure financial returns?

Earlier this year, HSBCs Stuart Kirk gave a now infamous speech Why Investors Need Not Worry About Climate Risk at an ESG conference. Kirk, then the head of responsible investment and research atthe bank, complained about the amount of work involved in calculating climate risk. His take on the climate crisis predicted hit to GDP growth was who cares? He cited the average loan term at his bank (six years) and said, what happens to the planet in year seven is actually irrelevant to our loan book.

Unsurprisingly, he was soon relieved of his duties at HSBC. Last week he resurfaced in the pages of the Financial Times with a fascinating editorial.

Kirks criticisms, however, shed light on a paradox at the heart of ESG.

Most of the people whose job it is to raise and invest money under the ESG label are input focused. That means they take ESG factors into account when making investment decisions with the ultimate goal of risk-adjusted returns. Most of their clients, however, are output focused. That means they expect an ESG fund that touts its green credentials to completely eschew fossil fuel stocks and steer capital into renewable energy companies.

Some, like Kirk, suggest that regulators and practitioners split ESG in two along this input/output axis. They argue this would bring greater clarity to the industry and allow ESG to reach its potential.

I work in the field of sustainable and responsible business. I am the president of a certified B Corporation and a Ph.D. candidate in the field of sustainability. When I speak to my clients, their priority is always on output. They ask: How can the financial products and professional services you provide help me build more affordable housing and create more jobs in my community?

As an output-focused investor, I admit Im probably oversimplifying the very hard task facing my input-focused fund managers. The job of an ESG manager sounds very difficult. In fact, it is hard to be in any relationship when the other partner has difficulty articulating what they want.

Here is what I want: I want the market value of the companies that are heavily invested in resolving the climate crisis to grow. I want them to have access to the capital they need to hire the smartest people in the world, to invest in the best technology and to communicate to their customers and communities about how to use it as effectively as possible. I do not want to be an owner of a company remember, that is what investors are that is heavily invested in making our problems worse.

But here is what I want even more: I want reactionary conservative politicians to dispense with the easy political stunts and engage with the hard work required to lead us out of this crisis. Because at the end of the day, investment choices and consumer decisions even in the billions of dollars are no substitute for sound public policy. I want leaders to use incentives and constraints to fundamentally change the world markets in which fund managers invest my money. And, ultimately, I want ESG to become meaningless not because it suffers from the lack of definition, but because based on changes in policy and culture we will have moved sustainability to the center of all business decisions.

Phil Glynn is president of Travois a certified B Corporation that finances housing and economic development in Indigenous communities. Follow him on Twitter: @glynnkc

Continue reading here:
The debate over ESG investing: lots of hot air - The Hill

Apple unveiled a slate of new products on Wednesday, including the iPhone 14, iPhone 14 Plus and iPhone 14 Pro models, which feature larger displays, improved battery life and an upgraded camera with more advanced lenses.

The company also introduced the completely redesigned Apple Watch Ultra, which is targeted toward outdoor sports enthusiasts and features a larger screen wrapped in a titanium case.

Additionally, the company revealed its Apple Watch Series 8. New features include "low power mode," which extends the battery life up to 36 hours from a single charge.

However, new product launches have done little to move the company's stock price in the past, industry analysts tell CNBC. Meanwhile, shares typically rise after Apple reports earnings that beat the market's expectations.

At the stock market open on Sept. 7, Apple's shares were trading at $154.83 per share. That's down slightly from $157.96 per share at the close of trading on Sept. 1.

If you had invested $1,000 into Apple a year ago, you'd see a slight return on your investment and have about $1,007 as of Sept. 6, 2022, according to CNBC's calculations.

If you had invested $1,000 into Apple five years ago, your investment would be worth about $3,916 now nearly tripling in value, according to CNBC's calculations.

And if you had given your $1,000 investment a decade to grow, you'd have about $6,665 now up nearly 540%, according to CNBC's calculations, which also factors in the company's various stock splits over the years.

Apple's stock began trading publicly on Dec. 12, 1980 at $22 per share. If you had invested $1,000 into the company during its early days, your investment would be worth $1,635,847 as of Sept. 6.

Apple briefly became the first U.S. company to be valued at $3 trillion in January 2022. The tech giant was also the first publicly traded U.S. company to be valued at $1 trillion and $2 trillion.

However, despite Apple's gains, it's important to note that a company's past performance can't be used to predict its potential success in the future.

Given the volatility of the stock market, investing in individual stocks can be a risky financial move.

Instead, a passive investment strategy tends to make sense for most investors. If you're interested in investing in the stock market, try an index fund that follows the S&P 500, which tracks the stock performance of the top 500 American companies.

As of Sept. 6, the S&P 500 was down about 14% compared to 12 months ago. However, the index has grown by about 58% since 2017, increased by nearly 173% since 2012 and ballooned by about 2,920% since 1980.

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Reality TV star Kim Kardashian launched a private equity fund, Skky Partners, which she co-founded with Jay Sammons, a former partner at the investment firm Carlyle Group.

Photo by James Devaney/GC Images via Getty Images

Reality TV star Kim Kardashian launched a private equity fund, Skky Partners, which she co-founded with Jay Sammons, a former partner at the investment firm Carlyle Group.

"Together we hope to leverage our complementary expertise to build the next generation Consumer & Media private equity firm," Kardashian wrote on Twitter.

Alongside investing in consumer and media companies, the firm will also target the hospitality, luxury and digital and e-commerce sectors, Skky Partners tweeted.

It said it would pursue control and minority investments in these industries.

Kardashian and Sammons, who previously ran the Carlyle Group's global consumer, media and retail division and left the company in July, will serve as co-founders and co-managing partners, with Sammons running daily operations at the firm. Sammons has previously worked with global brands like Supreme, Beats by Dr.Dre, Vogue, McDonald's China and Moncler, according to his LinkedIn profile.

Kardashian's mother and long-time manager, Kris Jenner, is also a partner at the new firm. On Twitter, she said she was "proud, honored and excited" about joining the firm.

Skky Partners did not immediately respond to a CNBC request for comment.

Kardashian originally became famous on reality TV show "Keeping Up with the Kardashians," which ran from 2007 until 2021. She now stars in the spin-off show "The Kardashians" and has 329 million followers on Instagram.

With the launch for Skky Partners, Kardashian has become the latest celebrity to join the private equity and venture capital industry, joining the likes of Leonardo DiCaprio, Gwyneth Paltrow and Serena Williams.

Tennis star Williams' venture capital firm Serena Ventures raised $111 million in March and has invested in over 50 companies worth a total of more than $14 billion since it was founded in 2014. This includes online learning platform MasterClass and social audio app Clubhouse.

Kardashian already has a track record as a successful entrepreneur. Her shapewear brand Skims was valued at $3.2 billion in January, while her make-up brand KKW gained widespread popularity after launching in 2017. In June, the entrepreneur rebranded KKW to SKKN as the company shifted from make-up to skin care.

This is also not the first time Kardashian has publicly spoken about finance and investing. In 2021, the star posted advertisements for cryptocurrency on her Instagram account, which had around 228 million followers at the time. She has since been sued by investors of the cryptocurrency she promoted, EthereumMax. The class action, which was filed earlier this year, claims that Kardashian and other celebrities who promoted the token collaborated with its creators to "misleadingly promote and sell" it.

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Kim Kardashian launches private equity firm, becoming the latest celeb to enter the investment industry - CNBC