aqal investing: the future of venture capital investing dr.bozesan
Post on 20-Aug-2015
813 Views
Preview:
TRANSCRIPT
© 2014 AQAL Capital. Strictly Confiden:al.
AQAL INVESTING: AN INTEGRAL APPROACH TO THE FUTURE OF INVESTING Unleashing the Power of Current Trends for the Benefit of All Mariana Bozesan, PhD Club of Rome, full intl. member Founder & General Manager, AQAL Capital GmbH, Munich Senior Research Fellow, Humboldt-‐Viadrina School of Governance, Berlin February 11th, 2014
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 1
OUTCOMES TODAY
Demys:fying the landscape of rather confused investors Understanding the hidden determinants, context, and trends Unleashing the power of the integral model for the benefit of all
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 2
OUTCOMES TODAY
Demys:fying the landscape of rather confused investors Understanding the hidden determinants, context, and trends Unleashing the power of the integral model for the benefit of all
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 3
Lehman, Fukushima, Madoff, Libor, Climate Change, Debt Crisis…
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 4
… lead to wealth owners’ sinking confidence in ins:tu:onal investors*
*Source: BCG Report, Regaining Lost Ground: Resurgent markets and new opportuni5es. Becerra et al.2010.
*Source: BCG Report, Regaining Lost Ground: Resurgent markets and new opportuni5es. Becerra et al.2010.
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 5
>= 10% of High Net-‐Worth Individuals want sustainability in both financial terms and impact, but cannot get it
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 6
…. because innova:ve financial products that can fulfill their needs
are missing at large scale
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 7
THUS, MANY HNWI ARE BYPASSING INSTITUTIONS Seeking alterna:ves to tradi:onal fund products, oden sobered by weaker than expected performance Wealth owners are self-‐organizing: AVIVA Corporate Sustainability Coali:on ($2 trillion)
Request to UN member states to adhere and develop regula:ons for global framework on corporate sustainability repor:ng Intl. policy framework for company disclosure, transparency, accountability, responsibility, incen:ves
Interna:onal Integrated Repor:ng Commiiee (IIRC) Interna:onal Stock Exchange Ini:a:ve: RIO+20
Reques:ng sustainability lis:ng rules; > 43% of all stock exchanges worldwide adhered to them already
Natural Capital Declara:on Commitment of the financial sector toward the integra:on of natural capital (earth’s assets & ecosystem services) criteria into financial products and services
Sustainable Capitalism Manifesto – Al Gore & David Blood Global Repor:ng Ini:a:ve (GRI): Sustainable Repor:ng Guidelines G4 The Giving Pledge: > 50 Billionaires star:ng with Warren Buffet, Bill & Melinda Gates, R. Branson, etc. GIIN/IRIS by The Rockefeller Founda:on Self-‐organizing family offices including PYMWYMIC, AQAL Inves:ng, RDS Capital, TONIIC Impact Inves:ng is oden missed by ins:tu:onal investors (only 5% use it) vs. 10% of HNWI* The B Corp Declara:on & the Conscious Capitalism Movement incl. GIIRS
*Source: J. P. Morgan & GIIN Report: Insight into the Impact Investment Market. December 14, 2011
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 9
GLOBAL ALLIANCE FOR BANKING ON VALUES REPORT*
with total assets exceeding $60 billion has
Eliminated the myth about lower returns through sustainability
Beier returns on assets than regular banks Significantly higher levels of growth in loans and deposits
Higher and beier quality of capital
Revealed that sustainable banks are more robust and resilient than tradi:onal ones
GSIFI=Global Systemically Important Financial Ins:tu:ons
*Source: GABV. (2012, March). Global alliance for banking on values: Strong, straight forward, and sustainable banking. Financial capital and impact metrics of value based banking. Full report. March 2012. Downloaded May 15, 2013 from http://www.gabv.org/wp-content/uploads/Full-Report-GABV-v9d.pdf
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 10
TRADITIONAL INVESTING IS CHALLENGED*
Financial crisis lead to fear and uncertainty Falling revenue and margins
Massive capital migra:on
Frustrated wealth owners losing trust in their asset managers Alterna:ve and customized inves:ng are on the rise
Tradi:onal inves:ng oden focused on short-‐term profit maximiza:on at the expense of long-‐term health of global community, culture, environment, ethics, and overall human happiness
Tradi:onal investment metrics oden missed sustainable, :me-‐based businesses and responsible investment opportuni:es Many tradi:onal asset managers failed to develop a core competency in alterna:ve inves:ng opportuni:es including impact inves:ng (SRI/RI/ESG)
10
Profit
TRADITIONAL INVESTING Profit Metrics
e.g.
WALL STREET BERKSHIRE-‐HATHAWAY
KKR SEQUOIA CAPITAL
*Source: Mulcahy, D. & Weeks, B. & Bradley, H. S., (2012, May). We have met the enemy …. And he is us: Lessons learned from twenty years of the Kauffman Foundation’s investments in venture capital funds and the triumph of hope over experience. Kauffman Foundation Research
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 12
Impact Inves:ng is growing but it is fragmented
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 13
IMPACT INVESTING IS FRAGMENTED IN TERMS OF MOTIVES AND APPROACH
Two types of Investors* Financial (Profit) First Investors
Pursue the op:miza:on of financial returns before having an impact floor Investors “are not willing to accept lower than market returns as a cost to op:mizing social or environmental goods, although they s:ll make a posi:ve impact”
Impact (People/Planet) First Investors Seek to op:mize social and environmental impact with a financial floor
For greater impact, investors are willing to accept lower than market financial returns
IMPACT INVESTING
Sustainability Metrics: ESG
Triple BoAom Line
Profit
People
Planet
e.g. GRAMEEN BANK TRIODOS BANK
GLS BANK BANK SARASIN
*Defini:on ader (Eurosif, 2010, p. 7)
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 14
GLOBAL SUSTAINABLE INVESTING (SRI/RI) IS GROWING*
Global Sustainable Investments using some kind of ESG criteria reached US$ 13.6 trillion (=21.8 % of total AuM in 2012)
Most common strategy is the nega:ve/exclusionary screening, US$ 8.3 trillion AuM
Norm-‐based screening, US$ 3.0 trillion AuM mostly Europe (65% of known SRI AuM)
Posi:ve/best-‐in-‐class screening 1.0 trillion AuM, mostly US
Assets u:lizing ESG integra:on are at US$ 6.2 trillion
Impact Inves:ng theme investments are s:ll fragmented and compara:vely small at US$ 89.0 billion
Sustainability theme investments are also compara:vely small at USD 83.0 billion
*Source: The Global Sustainable Investment Alliance (GSIA) Report 2012, hip://gsiareview2012.gsi-‐alliance.org
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 15
GLOBAL SUSTAINABLE INVESTING (SRI/RI) (COND.) Screening of investments
Nega:ve/exclusionary screening -‐ The exclusion from a fund or poryolio of certain sectors, companies or prac:ces based on specific ESG criteria Posi:ve/best-‐in-‐class screening -‐ Investment in sectors, companies or projects selected for posi:ve ESG performance rela:ve to industry peers Norms-‐based screening – Screening of investments against minimum standards of business prac:ce based on interna:onal norms
Integra:on of ESG factors The systema:c and explicit inclusion by investment managers of environmental, social and governance factors into tradi:onal financial analysis.
Sustainability themed inves:ng Investment in themes or assets specifically related to sustainability (for example clean energy, green technology or sustainable agriculture)
Impact/community inves:ng Targeted investments, typically made in private markets, aimed at solving social or environmental problems Impact inves:ng includes community inves:ng, where capital is specifically directed to tradi:onally underserved individuals or communi:es, or financing that is provided to businesses with a clear social or environmental purpose
Corporate engagement and shareholder ac:on This strategy employs shareholder power to influence corporate behavior including through direct corporate engagement (i.e. communica:ng with senior management and/or boards of companies), filing or co-‐filing shareholder proposals, and proxy vo:ng that is guided by comprehensive ESG guidelines
*Source: The Global Sustainable Investment Alliance (GSIA) Report 2012, hip://gsiareview2012.gsi-‐alliance.org
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 16
INTEGRAL INVESTORS: POSITIONING AND DRIVERS
16
FINAN
CIAL RETURN
S
SOCIAL, ENVIRONMENTAL, ETHICAL, CULTURAL, & HAPPINESS IMPACT
PROFIT FLOOR
“FINANCIAL FIRST” IMPACT INVESTORS Op:mize financial returns while maintaining an impact floor
Philanthropy LOW
HIGH
LOW HIGH
Pure Philanthropy
Pure Financial “IMPACT FIRST” IMPACT INVESTORS Op:mize social/ environmental impact while maintaining a financial floor
INTEGRAL INVESTORS
Op:mized, risk adjusted financial returns and
premium impact returns
IMPACT FLO
OR
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 18
The integra:on between Tradi:onal Inves:ng
and Sustainable Impact Inves:ng is needed in order to fulfill the needs of leading edge investors today
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 19
AN INTEGRATED APPROACH: AQAL CAPITAL
Integral Inves:ng is based on Ken Wilber’s Integral theory that is widely applied in 50 disciplines including science, poli:cs, economics, educa:on, medicine, and business; Ken Wilber is endorsed by Nobel Prize laureate Al Gore, former US President Bill Clinton, former Secretary of State Hillary Rodham Clinton, and is also used i.e. at McKinsey and Company.
Source: Wilber, K. (2000). A theory of everything: An integral vision for business, poli5cs, science, and spirituality. Boston: Shambhala.
Integral Metrics
Planet
People
Profit
Ethics, Ego, EmoJons &
Consciousness Behavior
Exterior Interior
Individu
al
Collec:ve
Culture & Morals
INTEGRAL INVESTING AQAL Inves:ng, Natural Inves:ng
Profit
TRADITIONAL INVESTING
Profit Metrics
IMPACT INVESTING
Profit
People
Planet
Sustainability Metrics ESG, IRIS, SAM
Triple BoAom Line
e.g. GRAMEEN BANK LGT VENTURE PHILANTHROPY
e.g.
TRADITIONAL WALL STREET
BANKS AND
VENTURE CAPITAL FIRMS
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 20
WHAT IS INTEGRAL INVESTING?
Integral Inves:ng is a leading edge investment model based on Ken Wilber’s integral theory It is a holis:c inves:ng vehicle that targets both premium market and premium impact returns for the benefit of all It implements the Parity of People, Planet, Profit, with Passion and holis:c Purpose in inves:ng It is an investment thesis that drives the self-‐actualiza:on of all par:cipa:ng agents by unifying humanity’s values spheres, the True, the Good, and the Beau:ful in inves:ng
Its de-‐risking tools integrate tradi:onal financial due diligence, with environmental, social, and governance (ESG) metrics, and with cultural, behavioral, and consciousness assessments
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 24
SUSTAINABILITY PAYS STUDIES THAT PROVE THE BUSINESS CASE FOR SUSTAINABILITY �”Businesses can improve short-‐ and long-‐term profitability through the adop:on of sustainable prac:ces in the following areas:
Natural Resource, Energy, and Opera:onal Efficiency Reduce input and overhead costs, militate regulatory sanc:ons, hedge exposure to vola:le prices and supply chain disrup:ons, and mi:gate environmental degrada:on, and conserve capital for implemen:ng a long-‐term growth strategy -‐ See studies by Goldman Sachs, DeloiAe, Interface Inc., McKinsey, Pricewaterhousecooper, Center for American Progress
Human Resources Management Retain experienced workers, prevent the loss of corporate knowledge, lower training costs, reduce employee absenteeism, improve worker produc:vity, and recruit the best talent -‐ Goldman Sachs, Gallup, Economist Intelligence Unit, IBM, NEEF
Financial Opera:ons Increase market capitaliza:on and stock growth, improve investor rela:ons, lower insurance premiums, decrease borrowing costs, and Improve access to capital-‐ Goldman Sachs, Economist Intelligence Unit, Ethisphere, Gallup, IBM, Innovest, Johannes Kepler University, SAM, University of California
Marke:ng and Communica:on Expand customer base, differen:ate products, improve brand image, and secure customers that are less sensi:ve to price, have greater brand loyalty, purchase more and more frequently -‐ Goldman Sachs, Accenture, DeloiAe
Collabora:on with NGOs and Government Gain access to new markets, beier supply-‐chain management, strengthen regulator and community rela:ons, improve brand image, mi:gate risks to brand reputa:on, militate government sanc:on -‐ Goldman Sachs, Accenture, Economist Intelligence Unit, IBM”
Source: Lovins, H. Natural Capitalism Solu:ons Website. Downloaded February 7, 2014 from hip://www.natcapsolu:ons.org/businesscasereports.pdf
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 25
MORE NUMBERS AND FACTS ….
Over the next 40 years, Genera:on X and the Millennial Genera:on will poten:ally inherit an es:mated US$ 41 trillion from the Baby Boomer Genera:on*
These genera:ons consider “improve society” as their number 1 priority of business**
Leaders in sustainable, social, and good governance policies have 25% higher stock value than their less sustainable compe:tors
35% of impact inves:ng funds target internal rates of return (IRR) of 20%!!!!!**
*Source: Havens, J. JJ., & Schervish. (2003). Why the $41 trillion wealth transfer es:mate is s:ll valid: A review of challenges an ques:ons, Boston College Social Welfare Research Ins:tute. ** Source: Drexler, M., Noble, A. (2013). From margins t mainstream: Assessment of the impact investment sector and opportuni:es to engage mainstream investors, hip://www3.weforum.org/docs/WEF_II_FromMarginsMainstream_Report_2013.pdf
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 26
PREMIUM FINANCIAL RETURNS FOR INTEGRAL COMPANIES
*Source: Sisodia, R., Sheth, J., Wolfe, D.B. (2007). Firms of endearment: How world-‐class companies profit from passion and purpose. New Jersey: Wharton School, p. 16; **Source: Mackey, J., & Sisodia, R., (2013). Conscious Capitalism: Libera:ng the heroic spirit of business. Boston: Harvard Business Press Review.
15 Year 10 Year 5 Year 3 Year CumulaJve Annualized CumulaJve Annualized CumulaJve Annualized CumulaJve Annualized
FOE Return 1646.1% 21.0% 254.4% 13.5% 56.4% 9.4% 77.4% 21.1%
GTG Return 177.5% 7.0% 14.0% 1.3% -‐35.6% -‐8.4% -‐23.2% -‐8.4%
S&P 500 Return 157.0% 6.5% 30.7% 2.7% 15.6% 2.9% 10.3% 3.3%
Note: Company returns are total returns with dividends reinvested and compounded**
Sample: Whole Foods: +40%
Higher ROI than FoEs over 10 years
(1800% shareholder value 1995–2006)
Sample: 8.0x higher ROI than market average (S&P 500) over 10 years; and 3.1x
higher than GGCs
Sample: 3.0x higher ROI than market
average (S&P 500) over
15 years
GOOD TO GREAT COMPANIES (GGCs) 2002
Nucor; Kimberly-‐Clark Kroger; Walgreens Wells Fargo; Gilleie
INTEGRALLY ACTING BUSINESSES The Container Store
Entelios AG, Whole Foods Trader Joe’s; Patagonia
DM, REI, Stoneyfield Farms
FIRMS OF ENDEARMENT (FoEs) 2007*
Patagonia Amazon Southwest Airlines IKEA; BMW; eBay,
AVEDA
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 27
OUTCOMES TODAY
Demys:fying the landscape of rather confused investors Understanding the hidden determinants, context, and trends Unleashing the power of the integral model for the benefit of all
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 28
THE FINANCIAL CONTEXT
The disaster of 2007/2008 nearly ruined the global economic system – By Oct. 2008, about $25 trillion were obliterated from the value of stock markets
What started with an ini:al liquidity crisis lead to – The disrup:on of capital flows – The collapse of the “too big to fail” financial organiza:ons incl. Lehman Bros., Fannie Mae, and
Freddy Mac
– Severe downturns in the global casino/stock markets world wide
– Currency crunches, failure of major businesses , global recession including the European sovereign-‐debt crisis (Ireland, Portugal, Greece, Spain, Cyprus, etc.)
– LIBOR, Madoff scandals
– No end in sight!
Q: How sustainable are our financial and economic systems?
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 29
THE SOCIAL CONTEXT
Real estate bubble bursts, foreclosures, evic:ons (USA, Spain, Ireland, etc.) Prolonged unemployment in most Western countries – 7.6% USA, 12% in Europe on average
Increased inequality in the West – USA with the “most millionaire households” in the world followed by Japan, China, UK, and
Germany
Growing health problems physically, mentally, emo:onally – Cancer, overweight, obesity, depression, asthma
Social unrests: – Occupy movement, Spanish Indignados, Greek protest, Arab spring, Ucraine protests
Ø The worst social consequences since the Great Depression
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 30
THE ENVIRONMENTAL CONTEXT
We con:nue to emit twice as much CO2 in the atmosphere than can be absorbed by our forests and oceans with disastrous consequences for the earth’s ecological balance: – Global warming at accelerated speed can lead up to 2-‐4 degrees Celsius in this century
– Ongoing droughts Water is becoming more important than petrol
– Ongoing hurricanes, floods, rapid mel:ng of polar ice caps lead to the raise of ocean levels
– Irrecoverable loss of bio diversity
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 32
The quiet killer and the driving force behind destruc:on but also the GOOD is
Exponen:al Growth
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 33
Most decision makers do not get it un:l it is much
to late to respond
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 36
THE SAGE AND THE INDIAN KING
8 > 1+2+4=7
32 > 1+2+4+8+16=31
On each new field, there are more grains of rice than in all previous fields together
Exponen:al growth means that each duplicaJon contains a larger quan:ty of things than all previous quanJJes taken together
The last square would contain 9.223.372.036.854.780.000 grains of rice that would cover the surface of today’s India with more than 1 meter of rice
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 37
EXPONENTIAL POPULATION GROWTH 220.000 PEOPLE ARE BORN PER DAY (NET)
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 38
EXPONENTIAL ECONOMIC GROWTH
It took Europeans 1000 years, the UK 100 yrs., Germany 70 yrs., Japan 50 yrs., and it took China only 6 years to double its economic output
China’s resource hunger is not only a media event Its GDP has doubled 6 :mes since 1978 By 2017, it will need more resources and will produce more goods than in its en:re history all together!
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 39
OUR TRUE PROBLEM: LACK OF AWARENESS REGARDING THE IMPORTANCE OF EXPONENTIAL GROWTH
With every duplica:on, the quan:ty added is LARGER than the en:re compounded previous quan:ty The megatrends in the 21st century are: – Exponen:al popula:on growth – Exponen:al economic growth – Exponen:al consumer growth: During the last 40 years, we added 3 addi:onal Billion consumers
Ø We have reached our physical Limits to Growth on our planet
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 40
DRAMATIC EXAMPLES OF EXPONENTIAL GROWTH
Food produc:on and water usage – We already have an acute water shortage and not enough agricultural fields for food produc:on – The need for food and potable water is growing at 2.5 % p.a., which will double in 28 years from now
Ø This means that in 28 years from now humanity will need more water and food than in its en:re previous history
Ø By 2035 we will need another Earth if no significant change occurs!!!!
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 41
“Humanity is stupid enough not to do what is perfectly doable”
to prevent disaster, Prof. Randers
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 44
But, something good is also going on!
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 45
RATIONAL INTELLIGENCE
THE TRUE
-‐ SCIENCE -‐
ENLIGHTENMENT ERA DEMOCRACY
NATION STATES MODERN MEDICINE SPACE SHUTTLE
CIVIL RIGHTS & GREEN MOVEMENT FEMINISM
SOCIAL BUSINESS CULTURAL CREATIVES:
25-‐30%
EMOTIONAL ART, VALUES, MORALS,
ETHICS
THE BEAUTIFUL -‐ ART -‐
INTEGRALLY ACTING HUMANS INTEGRATING HUMANITY’S VALUE SPHERES
“DeMedici Effect” in the 21st century
THE BEAUTIFUL -‐ ART -‐
THE GOOD
-‐ MORALS -‐
THE TRUE
-‐ SCIENCE -‐
EVOLUTION OF HUMAN CONSCIOUSNESS TO LATER STAGES OF DEVELOPMENT
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 46
That’s true for everybody including investors, business people, and leaders in general!
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 47
RESEARCH ON PRIVATE EQUITY INVESTORS
132 investors: 50% men – 50% women Global investors from USA, Canada, Germany, China, India, France, Thailand, Bali, Singapore, Turkey, Dubai, Ireland, Switzerland High-‐tech, clean-‐tech, music, beverage, health care, Wall street financiers, lawyers, music industry Ac:ve philanthropists and social entrepreneurs Stanford, MIT, Harvard, Sorbonne, etc. graduates – 45 doctorate degrees, 60 MBAs, other Master’s degrees
Aggregated investment capital: $1.39B
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 48
THE HERO’S JOURNEY: AWAKENING
48 Copyright 2010 |
Physical degradation, back pain, overweight, regular colds, heart problems, food allergies, injuries, multiple sclerosis
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 49
THE HERO’S JOURNEY: EMOTIONAL PAIN
49 Copyright 2010 |
“horrible divorce,” death of “mother” or “wife,” “high-‐degree anxiety,” “worry and fear,” “heartbreak,” tension between “fear and desire,” “grief,” the “need” to be accepted by the outside world, “frustration,” “lack of trust,” “lack of joy,” “deep sadness,” “lack of alignment,” “lack of fulbillment,” “completely unhappy”
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 50
THE HERO’S JOURNEY: THE TIPPING POINT
50 Copyright 2010 |
TERRIBLE EMOTIONAL PAIN LEAD TO THE COURAGE TO FACE OWN SHADOW USING TEACHERS
– “Got fed up with fear” – Decision to experience the “dark night of the soul” – Asking essen:al life ques:ons: “Who am I? Why am I here?”
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 51
NOTICED LACK OF MEANING AND FULFILLMENT
“I wasn't manifes:ng why I was here” “I was following a script that wasn’t authored by me” “While there were fun things like building new markets and I really enjoy business, there was this sort of almost mind numbingly impossible monotony around the trajectory that I was on” “I had enough intellectual understanding that the gold rings were running out” “There’s fewer jobs led” in the world “There was a growing, gnawing, unfulfillment of maximizing shareholder value”
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 52
UNITY CONSCIOUSNESS EXPERIENCES
“Lightning bolt [that] moved through my body” “Out-‐of-‐body experience … that really showed me very clearly that I am not my body” “We proceeded to have a conversa:on where he read my mind and responded so I never opened my mouth” “Feeling [that] would be so powerfully strong that it was almost to the point where you couldn’t walk”
“Mys:cal experience,” “divine light,” “divine intelligence,” the “heart was exploding with love,” “My body turned into an intense beam of light” “My heart opened and I could feel every bird and insect as part of me”
Ø They had no framework to understand what was going on and a “quantum leap in consciousness” was the result
52
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 53
THE HERO’S JOURNEY: RETURN TO SOCIETY
“This [journey within] was like drinking out of a bire hose. In this area, MIT and Stanford Business School were like drinking out of a bire hose for academic and business issues. This was like drinking out of a bire hose for emotional, spiritual and consciousness issues. We need both.”
53 Copyright 2010 |
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 55
Exponen:al growth works on the GOOD as well
This is our opportunity!
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 56
OUTCOMES TODAY
Demys:fying the landscape of rather confused investors Understanding the hidden determinants, context, and trends Unleashing the power of the integral model for the benefit of all
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 57
THE INTEGRAL INVESTING DUE DILIGENCE MODEL AND PROCESS
Integral Inves:ng is based on Ken Wilber’s Integral theory that is widely applied in 50 disciplines including science, poli:cs, economics, educa:on, medicine, and business; Ken Wilber is endorsed by Nobel Prize laureate Al Gore, former US President Bill Clinton, former Secretary of State Hillary Rodham Clinton, and is also used i.e. at McKinsey and Company.
Source: Wilber, K. (2000). A theory of everything: An integral vision for business, poli5cs, science, and spirituality. Boston: Shambhala.
THE AQAL APPROACH
Integral Metrics
Environmental DD
Social, Stakeholder & Governance DD
Financial DD
Individual Consciousness (incl. morals &
values) Due Diligence
Individual & CollecJve Gap Analysis & Report
Exterior Interior
Individu
al
Collec:ve
OrganizaJonal, Cultural & Ethical Due Diligence
(DD)
INTEGRAL INVESTING AQAL Inves:ng Screening Process
Profit
TRADITIONAL INVESTING
Profit Metrics
IMPACT INVESTING
Profit
People
Planet
Sustainability Metrics ESG, IRIS, SAM
Triple BoAom Line
e.g. GRAMEEN BANK LGT VENTURE PHILANTHROPY
e.g.
TRADITIONAL WALL STREET
BANKS AND
VENTURE CAPITAL FIRMS
© 2014 AQAL Capital. All rights reserved. Strictly Confiden:al. 58
KEN WILBER’S INTEGRAL MODEL
Ken Wilber’s Integral Model is endorsed by Bill & Hilary Clinton and Applied in 50+ disciplines and organizations including McKinsey and Company
Four quadrant correlates for humans, along lines of increasing complexity
Source: Wilber, K. (2000). A theory of everything: An integral vision for business, politics, science, and spirituality. Boston: Shambhala.
Self & Consciousness [SubjecJve Experience]
I
INTERIOR INDIVIDUAL
INTERIOR COLLECTIVE
Culture & Worldview [INTER-‐SubjecJve]
Archaic Animis:c-‐Magical Early Mythic
Late Mythic Scien:fic-‐Ra:onal
Pluralis:c Holis:c
Integral
1 2
3 4
5 6
7 8
1 2
3 4
5 6
7 8
Social System & Environment [INTER-‐ObjecJve]
Brain & Organism [ObjecJve Behaviors]
IT
EXTERIOR INDIVIDUAL
EXTERIOR COLLECTIVE
WE ITS
1 2
3 4
5 6
7 8
1 2
3 4
5 6
7
Ins:nctual Self Magical Self
Egocentric Self Mythic Self
Achiever Self Sensi:ve Self
Holis:c Self
Survival Clans Ethnic Tribes
Feudal Empires Early Na:ons
Corporate States Value Communi:es Holis:c Communi:es
Integral Meshworks
8 Integral Self
Neocortex (Triune Brain) Complex Neocortex
SF1 SF2
SF3
FOUNDATIONAL AQAL METRICS
top related