Author(s)

Kuznetsova Natalia Petrovna ¹, Pisarenko Zhanna Victorovna ¹, Nguyen Kahn Toan ², Brylev Andrei Alexeevitch ¹, Xie Wenkai ¹

Affiliation(s)

¹ Risk Management and Insurance Department, St Petersburg University, St Petersburg, 199034, Russia
² Vietnamese Academy of Social Science (VASS), Socialist Republic of Vietnam, Hanoi, Vietnam

Corresponding Author

Kuznetsova Natalia Petrovna

ABSTRACT

A wide range of economic, social, environmental, demographic problems is characteristic of the modern world and is focused on achieving the goals of sustainable development, uniting the efforts of civil society, in which the main actors of socio-economic life are involved: political and economic elites, consumers and producers of the entire aggregate of material and intangible goods and services. The world community has come to the concept of sustainable development and the transition to a "green" economy, which combine the achievement of self-sustaining economic growth with the provision of social protection of the population and minimization of negative impact on the environment. Today, institutional investors play a system-forming role in the implementation of this triune development strategy. The purpose of the article is to identify the increasing significance of institutional investors in the “green” socially responsible transformation of the global and national financial markets in the implementation of the UN SDGs in a number of developed and developing economies. Objectives, findings and discussion of the study: consideration of the prerequisites for analyzing the role of institutional investors in achieving the UN SDGs; global investors’ certain initiatives assessment that have been proposed as a paradigm for socially responsible and infrastructure investment at the national and international level; determination the role of various green institutional investors (quasi-public sector, banks, sovereign welfare funds, with the special attention to the insurance companies’ and pension funds' role in green investments process) in the implementation of the green transformation of financial markets in some countries and regions of the world economy; identification the importance of the main investment channels of institutional investors in green infrastructure in the light of types of investment (direct, indirect mixed), kinds of investments (corporate, project, investment-target), general characteristics (description, advantages, scaling, profitability).

KEYWORDS

Green transformation of financial markets, sustainable development, institutional investors, responsible investment, insurance companies, pension funds

CITE THIS PAPER

Kuznetsova Natalia Petrovna, Pisarenko Zhanna Victorovna, Nguyen Kahn Toan, Brylev Andrei Alexeevitch, Xie Wenkai, Institutional Investors in the Green Transformation of Modern Financial Markets . Financial Engineering and Risk Management (2022) Vol. 5: 114-119. DOI: http://dx.doi.org/10.23977/ferm.2022.050715.

REFERENCES

[1] Ryazanov V.T. (2011) Economics of rent relations in modern Russia. Christian Reading No. 4(39) 2011. SS 150-162; Choice for Russia: industrialization or financialization. Christian Reading No. 4(39) 2011. SS. 163-173. In Russian.
[2] Kuznetsova Natalia. (2006) Perspectives of power-oriented economic growth conversion (with special reference to Russia) Ekonomika 2006 Vol. 73 Research Paper Vilnius University press PP.46-56.
[3] Kuznetsova N.P. (2011) Economic Development in Small and Large Transition Economies in the Context of the Transition from Energy-Driven to Innovation-Driven Growth. Notes of the Mining Institute, v.191 "Problems of development of the mineral and raw materials and fuel and energy complexes of Russia", 2011. In Russian.
[4] Kuznetsova Natalia, (2012) Comparison between Economic Growth And Sustainable Development In Different-Scaled Economies. Proceedings of the conference Management challenges in the 21st century “Sustainability – a moving target: economic, social. cultural, ethical and environmental issues in time of economic recession” 25-27 04.2012 Bratislava.
[5] Kuznetsova Natalia (2013) Economic Growth in the large- and small-scaled economies and the role of resources in conversion of energy-oriented to modernized innovational-driven economy International Conference University of Helsinki Alexander Institute13-24 September 2013.
[6] Kuznetsova N.P., Pisarenko Zh.V., Wang Tsang (2019) Energy cooperation between China and Russia in the context of sustainable development: macro-level. Problems of the modern economy No. 4 (72) 2019. In Russian.
[7] Kuznetsova N.P., Pisarenko Zh.V., Wang Tsang Nguyen Kan Toan (2020) Energy cooperation between China and Russia in the context of sustainable development: micro-level. Problems of the modern economy No. 1(73) 2020. In Russian.
[8] OECD. 2012. The Role of Institutional Investors in Financing Clean Energy, B20 Task Force on Green Growth Recommendations to the G20 Los Cabos Meeting: Calculation based on World Economic Forum Analysis; HSBC, Sizing the climate economy, 2010; HSBC, A Climate for Recovery, 2009; BCG, The Global Infrastructure Challenge, 2010.
[9] UN Initiatives for Environmentally Responsible Economics. Accessed: 2013-2020.
[10] Kuznetsova N.P., Pisarenko J.V., Nguyen Kan Toan (2021) Mechanism for implementing the values of sustainable development and the meanings of the welfare state in the context of responsible investment in green and infrastructure projects. International Economic Symposium 2021 “Sustainable Development: Economy and Society. St. Petersburg State University 2021. In Russian.
[11] Benoit, P. (2012). State-owned enterprises and their domestic financial base: two keys to financing our low-carbon future. Electricity in a Climate Constrained World 2012. IEA.
[12] Gurova I.P., Kozlov F.I. (2012) Formation of PPP in the Russian economy. Modern studies of social problems (electronic journal) No. 6 (14) 2012. www.sisp.nkras.ru. In Russian
[13] OECD. 2013. The Role of Banks, Equity markets and Institutional Investors in Long-term Financing for Growth and Development (Report for G20 Leaders).
[14] OECD. 2013. Institutional Investors and Green Infrastructure Investments: Selected Case Study. URL: https://dx.doi. org/10.1787/5k3xr8k6jb0n-en.
[15] ESG investing factors: Russia. Retrieved from: http://www/refinitiv.ru›esg-investing.
[16] Lord, R., Goldberg, S., Rajamani, L. and Brunnée, J. (2012) Climate Change Liability, Cambridge University Press; URL: www.munichre.com/app_pages/www/@res/pdf/NatCatService/great_natural_catastrophes/NatCatSERVICE_ Great_1950_2011_number_en.pdf. (Date of access: 01.11.2020) – Website of the German Reinsurance Company Munich Re.
[17] OECD. 2012. The role of institutional investors in financing clean energy. no. 23, OECD Publishing, Paris. URL: http://dx.doi.org/10.1787/5k9312v21l6f-en.
[18] IFC. 2013. A Dialogue Platform for Inclusive Green Growth Investment: An Expanded Stocktaking for the G20 Development Working Group, IFC/World Bank Group, Washington D.C.

Sponsors, Associates, and Links

---

• Information Systems and Economics
  
  
• Accounting, Auditing and Finance
  
  
• Industrial Engineering and Innovation Management
  
  
• Tourism Management and Technology Economy
  
  
• Journal of Computational and Financial Econometrics
  
  
• Accounting and Corporate Management
  
  
• Social Security and Administration Management
  
  
• Population, Resources & Environmental Economics
  
  
• Statistics & Quantitative Economics
  
  
• Agricultural & Forestry Economics and Management
  
  
• Social Medicine and Health Management
  
  
• Land Resource Management
  
  
• Information, Library and Archival Science
  
  
• Journal of Human Resource Development
  
  
• Manufacturing and Service Operations Management
  
  
• Operational Research and Cybernetics