Transcript
Speaker: Hi! Welcome to the podcast Women Changing Finance, where you will discover amazing women from all around the world who are making finance become a force for good.
Speaker: Welcome to the podcast, Women Changing Finance. I'm Christina Thora, and I'm welcoming today Eliza Fu, Director of Impact Investing at Temasek, which is a Singaporean multinational investment firm managing nearly $400 billion in investments.
Speaker: Eliza believes in channeling capital to uplift communities and protect the environment so that every generation prospers. Over the years, I have been really impressed by Eliza's passion and dedication to creating impact.
Speaker: It's a real pleasure to have her on the show. Welcome, Eliza. So let's begin. Temasek is one of the most influential investors. How do you view your responsibility when you deploy capital with sustainability and impact objectives?
Speaker: Tell us more about Temasek and its objectives in terms of sustainability and impact. Sure. No, thanks for having me here. It's really amazing the work you do in impact investing, especially this podcast.
Speaker: I think highlighting women who is using finance to potentially make the world a better place, incredibly important. And you've done it so thoughtfully here. So really excited to be part of the conversation. So maybe a brief intro on Tomasi.
Speaker: Tomasi is, as you mentioned, it's a global investment company pickpotted in Singapore. but So we invest across listed, unlisted assets in the range of different sectors. And we call ourselves a generational investor.
Speaker: So we invest with tomorrow in mind so that every generation prospers. So in particular, our sustainability strategy anchors around net zero, nature positive and inclusive growth.
Speaker: It is actually one of our four core pillars of our T2030 strategy. So among the sustainability agenda and a gender iss our impact investing a team. And our mission here is to focus on prosperity in purpose.
Speaker: So we look to achieve market financial returns alongside creating positive impact. at scale. I think to your first question, so and that's a big question. As a large LP, I think we take our fiduciary duty very seriously and we actually hold uncompromising standards for both returns and impact.
Speaker: So what does this mean? We actually have very rigorous financial due diligence for our investments. It's the same as the rest of Temasi. At the same time, we pair it with also very rigorous impact assessment.
Speaker: And we don't proceed unless a both takes off. So this means we look for impact embedded as the core within our managers as well as businesses. So as the business grows commercially, so will outcome for people and planet as well.
Speaker: I think as a large LP, it has the ability to shape and influence the market, right? Depending on who they partner, who they back, and as well, I think, you know, the requirements that they have.
Speaker: So I think responsibility includes being very clear upfront on expectations, on governance, on transparency, and actually what will be the real-world outcome beyond performance itself. So by using LP capital, you can really maybe transform and grow or impact strategies that are successful from it being niche to scale as well.
Speaker: But maybe I'll pause there. That's perfect. So just for those who are not familiar with the world of investment, can you just explain what an LP is and how it works? And perhaps also so reflect on your role as an LP.
Speaker: you know What differentiates perhaps MSX specifically as a limited partner? Yeah. So as you mentioned, lp is a limited partner, where we are investors in the GP, which we call general partners, or really funds that have a specific strategy to manage the money and deploy into companies.
Speaker: Usually for these funds, there is a fixed tenure to exit, normally within your four to six ah year period, in order to achieve a target return is set by the fund. So as LPs, I mean, that's an interesting question.
Speaker: but think it comes to the point of being a strategic LP as well. So you know obviously as LP, we provide funds to the GP in in order to deploy the capital below. But we also choose to do more than just providing capital.
Speaker: We want to value add to the GP. So more often than not, we want to make sure that we are also very helpful in terms of their strategy. So we usually participate as part of LPAC, the board.
Speaker: We also were strategized. with either the GP or the companies, know what you want to do in the future, ah do you institutionalize further? And sometimes they have problems, for example, growing the team, maybe on the impact side, given the lack of capabilities here.
Speaker: So we help to kind of introduce and connect the dots. And more importantly, I think, because we also invest across different GPs globally, we share with them different perspectives and our own experience.
Speaker: So hopefully that actually helps to tighten the execution and their thesis as well. So, you know, we're also very careful not to replicate what they do. Obviously, they have, you know, the presence on the ground, their value add, but really to amplify and expand their impact through our platform and our network.
Speaker: Thank you. That's very clear. And you were talking about... how you invest for impact that you usually invest in businesses that grow their impact as they grow their commercial revenues, right?
Speaker: Can you give maybe examples of investments that you're really proud of or that you found really successful in terms of impact to illustrate... this Sure.
Speaker: Also, I have to mention, you know, for our impact team, we really focus on the underserved in emerging markets. So Asia, Africa, Latem, across financial inclusion, healthcare, and climate.
Speaker: What this means is, you know, we're also equity investors, focus on the growth stage. And we look to add value, I think, to the portfolios after, right? So we really look to solve for cheap three criteria.
Speaker: scale, market financial returns, and of course, on the impact side as well. So really high rigor the impact. So a few sectors that we've been quite excited about, I think when we first started the journey, we were like, what were the gaps in the unserved?
Speaker: So these were people earning less than between $5 $30 a day. They don't have access to basic products like financial services and healthcare, care or they can be really small businesses like MSMEs and SMEs as well.
Speaker: And there's still very large gaps, as you would know, especially in emerging markets, right? So this is like Africa, Indonesia, and India. So we double click on it. So some of the sectors that we like, for example, is in financial services.
Speaker: So this is actually issue where we see the most activities. Actually, fintech is also opening up a lot of interesting innovations, especially as you see, you know, increasing mobile connectivity, shifting more mobile and digitization, which is very, very interesting, right? So new areas, for example, lending, payments, embedded finance and insurtech, areas that we are tracking quite closely.
Speaker: On the healthcare space as well, there's still very large gaps. I think we want to encourage more products and services moving to lower tier cities, right? There's still very large gaps. So a lot of them still travel to the cities for treatment and there is really long waiting lists, right? So whether for hospitals or even basic treatment as well.
Speaker: What we're seeing is innovation like AI and telehealth is helping to improve the UN economics and hence, you know, maybe making it more affordable. Of course, the last area on climate, there's this concept of TCO parity, which means we're seeing this green discount.
Speaker: So a lot of the green technologies are in fact more affordable than the incumbent. So it's super interesting. So you have your electric two-wheelers and three-wheelers in India. They should also have your off-grid solar solutions in Africa.
Speaker: So i think these are areas that we really see kind of attraction as well. And then I guess focus on adaptation will be very important. That's fantastic. Thank you for explaining those. I mentioned that not all investments at Temasek are impact investments, yet you have a broad sustainability commitment within the Temasek investments.
Speaker: Can you reflect on that and tell us how you work with your colleagues? Like what portion of the work or the investments of Temasek are impact? Or is there, ah I don't know, perhaps a target to grow that?
Speaker: Like what's the strategy and and how you collaborate with your colleagues inside of Temasek? Yeah, so maybe broadly on Susmedi itself, I mentioned our ambition to achieve net zero, nature positive and inclusive growth.
Speaker: in fact, on the time itself, we have quite ambitious targets and to achieve net zero by 2050. So we're working very hard on that. ah We've also designed, this is a across the Masi, and shaped our portfolio ah according to four structural trends.
Speaker: including sustainability living trend alongside digitization, future of consumption and longer lifespan as well. So what this practically means is we've also designed framework classification to see what fits in terms of investments under sustainability living trend.
Speaker: This is along with the themes of energy, clean transportation, build environment and materials. So, so far, I think across the firm, we've identified about SYNC 44 billion. of our portfolio tied to this, including companies like, for example, Solugen or Ola Electric.
Speaker: So that's broader from sustainability perspective as well. On impact side, as you know, the bar is higher, right? So almost all the business needs to be able to create positive contribution to either the environment or social needs.
Speaker: So this means 90 or 100% of their revenues contribute positively, right? The other aspect about impact is to be able to embed that across the strategy, throughout the process, and more importantly, the measurement.
Speaker: How do we capture the positive benefits, environmentally or socially as well? And that is challenging, right? There's still a lot of gaps and there's still a lot more to do, right? So the team has built the capabilities of doing it over the last three to four years.
Speaker: We learned from our GPs and our funds and our companies as well. And of course, the amazing ecosystem that we have. And then what we do with the rest of Tamasi is to share. So we're a little bit like a speedboat, right? We track what's the latest development and sustainability and impact.
Speaker: whether it's standards, whether is there a better way to measure, better how do we hold the bar high on impact? And then we share it with the rest of Tumasek to say, okay, these are things, you know, with your portfolio or actually a portfolio company, potentially you can think about capturing some of the positive measurement here.
Speaker: This is how it can be helpful to be more resilient in the future if you think about trends like this. So it's a bit of a interactive and sharing what we see in the impact space with the rest of Tomasik. That's brilliant. I like this kind of internal knowledge sharing approach.
Speaker: So that was about how you work internally. But I also have a question about how you work an externally. I mean, with your investees, either the fans or the directors. investment companies, it's hard, right? To grow a business at the same time as you're wanting to create impact. So how do you work with them? How do you hold them accountable to their impact pieces?
Speaker: How do you work on this tension that kind of arises every day, I guess, in in businesses and in funds? Yeah, know I think it's a very important question and something that we also think about every day.
Speaker: So I think what's really key is alignment with the portfolio but and the funds. And for us, I think the this happens way before we do the investment. And of course, after the investment as well.
Speaker: So pre-investment, I mentioned sure that we hold a high rigor for both returns and impact. So we apply our kind IMM framework across three lands. impact thesis, impact practice, and contribution.
Speaker: But as I say, we probably spend the most time on impact thesis and the intentionality, right? So by the end of due diligence, we will have a very clear idea. What is the funds through your change?
Speaker: The type of companies they will invest in? And then more importantly, what are the few key KPIs that they will track and measure? And all this is somewhat captured in the documentation, right?
Speaker: But the work starts post-investment, right? As you know, it takes a lot of time and effort. And I'll say it's again, it's a two-way engagement, not really one way. but It comes to the point we want to value add to our GP.
Speaker: So we do have reporting requirements. So every quarterly and every annual. So we take a lot of time to actually review them. And know we know the amount effort that GPs put into it. But more importantly, I think we see where there are material deviations.
Speaker: I think try to understand why. and is there a way to kind of cross correct and bring it back? my And i always say, I think, you know, it's not only the good stuff, right? Not only all the success stories, but what are the lessons learned?
Speaker: And especially the last few years has been challenging from an emerging markets perspective. So how can we learn together to kind of tackle some of the challenges? Great. I mean, actually, that's a question I really want to dive deep, deeper in You're one of the investors that actually goes and invests into emerging markets.
Speaker: Many investors are reluctant to do so. What can you tell other investors about why it's important and the fact that it actually works? You can get a good level of returns and impact.
Speaker: I would really love you to do the business case here because there are so many investors that feel it's more comfortable to invest where they are and they overlook potentially really ah interesting opportunities.
Speaker: Yeah, i happy share. I think when we first started our journey, we wanted our capital to be additional and intentional. So really seeing where were the largest gaps. In fact, I think, you know, after four or five years, I'm still very excited about the opportunities emerging markets.
Speaker: Maybe just to share a few, i think one, definitely, I think the scale in EM, know especially Asia offers kind of unmatched scale. If you talk about rural, tier two, tier three cities, MSMEs, right? In fact, you know, Asia will be the home up to 5 billion people by 2050. And this is almost half the world's population. So I think we cannot ignore and we have to really make sure it impact gets right here.
Speaker: I think the other thing that we are seeing is really on the digitization and technology side. Over the last four to five years, there's tremendous progress, right? AI is really top of mind for many people. Digitization, technology, again, how that reduces the unit economics because it has to be affordable.
Speaker: That's how you scale and be profitable as well. The other thing is really the development of the digital public infrastructure, like the UPI in India. think that's absolutely transformative.
Speaker: It's accelerated innovation, for example, in fintech and other areas. And the question there is how can we replicate some of the success factors to other markets as well? And what we're slowly seeing in the space is secondaries and liquidity solutions slowly emerging.
Speaker: And I think this will be important to be able to recycle some of the capital and to make this asset class a little bit more mainstreamer. And lastly, I feel it's it's collaboration. I mean, that's why this space is so special, right?
Speaker: You've been around a very long time and you've seen there's been a lot of discussions and experimentation. I hope now what works, what doesn't work and who's willing to move.
Speaker: So I feel now is an interesting point to really move to action and deploy more capital into the space. But of course, the risk still exists. right So we're excited about opportunities. How do you then be disciplined to find, I think, the right this model, the right environment, the right partners to actually work with as well.
Speaker: So we also see that no this is really execution. at two different lengths, one on the team itself. So we really back team who have, you know, on the ground knowledge. So people with local contacts, know the regulators, know the entrepreneurs.
Speaker: So that's very, very very important. We back specialist GPs who's actually been through, know, they know origination, right? The portfolio management and execution. And even better if they've been through one or two cycles and in the itself.
Speaker: So that's the GP selection. ah from ah From asset owner perspective, then you have to look at the portfolio level, right? And the question there is, how do you manage the portfolio the best you can from a risk perspective?
Speaker: So having a diversified portfolio across sectors and geographies, making sure there's evidence of realization where possible. Is it possible to also invest in business that are more resilient and have a natural effects?
Speaker: but So these are all things that we kind of think about. The other thing that's that's so special about this space is there's so much sharing. We do reach out to fellow LPs if we know we're looking at particular GP. And we always share our perspective as well. I think this cross-sharing of knowledge, not only at the GP level, but at the LP level, right? Across asset owners, family officers, DFI. I think that's that's amazing. And we should really leverage that.
Speaker: That's amazing. You answered one of my questions, which was, if I'm an investor and I come to you to get investment into my fund, what do I do? So I think you may you answered a little bit that, but it also perhaps on this aspect of collaboration, I think it's it's a really important aspect of the work, especially that you do at MSA, because it's very proactive, it's very thoughtful, very strategic.
Speaker: Can you say more about this aspect of how you collaborate with other LPs or other investors and and perhaps how you invest or that aspect of collaboration with investors to ensure that it's kind of, there's a full coverage of of the needs.
Speaker: Yeah. So really see how we like to contribute probably at three levels. ah So one, in terms of like standards, two, platforms, and three, really the practice on the ground.
Speaker: um So one on on standards, we like to lean in the concept of impact innovation and pushing the boundaries a little bit of what good looks like. And that's why the last few years we've been supporters of the JIN Impact Lab, which looks to develop new tools and approaches to hold the bar high on impact.
Speaker: And that's very unique because we also bring other LPs together to share their perspective of challenges in measurement. How can we work better on resourcing? So really kind of combining our resources for a greater good as well.
Speaker: And I think it's also very important that we participate in global discussions, like what GSG does so so thoughtfully, but also on leadership research, right? So that we can also share our perspective and also bring the voices from the Asia and emerging markets perspective as well.
Speaker: So I think that connectivity and knowing that if you look at a particular deal, we can we know who to call and that takes time. I think building the network and relationship. But once you know with the right people, it's very easy to kind of pick up call and then know that the feedback will be ah very open and very helpful in terms of the work that you do.
Speaker: The second level is probably at the platform convening level. So we are strategic partners to SIP, the Center for Impact Investing and Practices. So it's a not-for-profit in Singapore that helps to advance impact investing practices in Asia and beyond.
Speaker: So every year, we actually organize our impact investing roundtable alongside Ecosperity Beach, where we try to put in about 200 leaders to really see how we can collaborate within impact.
Speaker: So what we're trying to do here is to catalyze and allow a lot more and have a convening time for people to come together and share you know real challenges. But how can we do better given some of the roadblocks?
Speaker: So it's probably our third, fourth year. i think in the beginning, the conversations are a lot here, but now with the momentum, people are more open to kind of share and then come together.
Speaker: But i think it helps with different organizations having specific convening for people to come together. And last area to be also more experimental and and catalytic, right?
Speaker: So what's unique is we have a community stewardship team that has what we call a CCCA. It's a concessional bucket that focuses on climate action in Asia.
Speaker: ah We're also supporters of some blended finance initiatives. So for example, supporting MAS Fast Key Initiative. um So this is being outside, thinking outside the box, being a little bit more experimental of what is the new business models that might work so that, you know, we can hopefully grow this to be more investable in the future.
Speaker: So I think there are different ways, but ultimately it's just having a very open conversations with fellow LPs. And I think bringing them in when there are good opportunities, right? It's not holding to yourself, but really sharing with the ecosystem ah because I really feel there's still not enough capital coming into impact investing and emerging markets.
Speaker: Yeah, absolutely. And so I have a question actually around a first area, which is this challenge, this tension between investing for the long term with a systemic approach, with a sustainable approach, and at the same time having quite stringent requirements on the short term, especially in terms of what profits look like.
Speaker: Can you reflect on this tension and how you manage this at Temasek and if you have any kind of thoughts for other investors on on this aspect? That's a tough question. to know but I come back to as a starting point, there shouldn't be any hard feed-offs.
Speaker: if you do the investment right. And the key is to find investable impact. For example, where there will be clear demand, good unit economics, and really a clear pathway to scalability and exit.
Speaker: To the point back is, if the business grows, impact will grow as well. But then you have to be very highly selective of the right business models to really invest in as well. I think Tomasi is also quite unique given what we do.
Speaker: So we don't work alone. we work very closely with our Temase Trust, which is our non-for-profit entity, who is then able to take a look at more long-term ah systemic solutions.
Speaker: So across the Temase ecosystem, we are able to then get involved on impact across the spectrum, from concessional, philanthropic capital to actually fully mainstream capital.
Speaker: And we can then ah know focus on who does what to be intentional about it. So I think that's really unique from a Temase perspective as well. And I think as an LP, we also have to be very intentional about how we deploy the capital, right?
Speaker: Maybe thinking about second order effect, know, how the capital may strengthen or weaken the ecosystem, whether it might exacerbate inequities or it might actually create unheathen risk, right? Which might come back to the portfolio and community in the future.
Speaker: but So I think these are all things that we might have to weigh and balance out. So it's really for longer term. And that's really coming back to the fiduciary duty that we have as well. That's super interesting. This analysis of secondary effects.
Speaker: If you ever want to share more about how you do it, I think it's a really interesting piece for others. I also want to ask you, well, it might sound generic, but actually, you know you already started touching on on some trends.
Speaker: You were based in Singapore. I mean, you invest obviously in many different geographies, but you're closest to Asia. And I feel that sometimes, at least where I sit, you know based in Paris, we it's far away. So we don't necessarily see the trends or we are not as close as the trends as you are. so Can you reflect on what you are seeing, what's kind of coming?
Speaker: There's so much, i know that there is so much, you know, kind of energy and opportunities. So if you can reflect a little bit on on what you are seeing from coming from Asia. Yeah, I know. I think of the impact ecosystem in Asia, it's so dynamic.
Speaker: and rapidly evolving. um I think if you take a look at it five years ago, it still feels relatively niche. But today, I think you slowly see it becoming a little bit more mainstream. So I think momentum is coming from a mix of institutional investors, development of the digital public infrastructure that I mentioned, that's allowing last mile inclusion.
Speaker: And of course, i think slightly better data and standards that makes accountability ah more practical. And, you know, I think Asia is also incredibly diverse. You have India, I think, leading the way in terms of the innovation, the the entrepreneurs and examples of exits in recent years.
Speaker: Southeast Asia, I think, is accelerating quickly, especially in areas of, say, financial inclusion and climate. And then Japan's policy signals is kind of starting to formalize the market.
Speaker: But that said, I think these markets tend to be earlier stage versus, say, US and Europe. So the ticket sizes that we see tend to be still quite modest. But the quality of the pipeline has improved slowly.
Speaker: We have you know better unique economics, more founders with local contacts, and then kind of clear up halfway scalability. And you've mentioned as well, I think one of the most notable shifts is the energy level um among family offices and the next generation wealth.
Speaker: especially in Singapore. you it's It's really amazing. So we've seen a number of large Asian family offices who are quite visible and intentional of not only using philanthropy, but also using impact, right? How do you integrate business investments and purpose?
Speaker: And that is very key because with the early catalytic capital, it may create potential outsized impact, right? And peer signaling will be very powerful, I think, in the space.
Speaker: But all that said, as i mentioned, I think the last few years have been quite challenging with the micro shocks, of course, the reduced public development funding, which has affected momentum for a little.
Speaker: But in a way, I think it can also accelerate everything of the role of private sector, especially in Asia. Maybe you know it's opportunity for private sector to step up more strategically as well.
Speaker: But overall, I think it's quite exciting. Hopefully, there willll be more collaboration among the ecosystem in Asia. Brilliant. Yes. I like that quote for action. And perhaps looking at the future, you know, kind of extending a little bit what you have started to say, where strategic investors like you had it, what does the next few years look like?
Speaker: Is there perhaps... I don't know, one shift or one change that you hope to see in the how institutional capital actually is deployed for creating common good?
Speaker: I think for ourselves, it still feels for like the beginning because I think the gaps in emerging market is still so large. So I think we're really staying focused on our strategy, doubling down on our portfolio, making sure you know we deliver what we promised, which is both impact and returns.
Speaker: It's still early, but I think, you know, we're quite but excited about the progress so far. So I think we'll continue to do this. What I do hope then for next five years is that for more LPs to deploy more capital into impact and emerging markets,
Speaker: But not only just more capital, but capital that really understand local context, being more realistic about risk, right? They exist. And also maybe staying in the path as long as there is a very clear ways of achieving DPI and exits.
Speaker: in the future. And maybe be one one key shift that i would still like to see is maybe more movement into impact for outcomes, right to make sure there is a real change for the better.
Speaker: i think with all the noise that we are hearing and seeing nowadays, i think there's a risk that we might use to purpose. Sometimes impact investing may get... There's a lot of like checklists that you have to do. There's a lot more effort.
Speaker: So then it ends up being a tick-box exercise, which it shouldn't be. So I do hope that, you know, we still stay focused on the purpose, make sure that we can deploy capital to improve both lives and the planet.
Speaker: Yeah, absolutely. It should be the normal and the traditional investment should have more drawbacks to it as opposed to the way it is today.
Speaker: Anyways, I'd love to move to kind of more personal questions about you. And it's really always super interesting to hear from people how how they got where they are. So I really would like to hear more about your journey and what made you who you are today and and kind of how you got here.
Speaker: Sure, happy to share. um In my earlier career, probably started in the classical finance. So investment banking and private equity. ah So obviously that was a very steep learning curve, but it gave me the core fundamentals of that I still rely even today.
Speaker: So I think to your earlier questions, for anyone who wants to go into finance or investing, I think it provides you a good starting point because of the exposure and experience that you get. One key real turning point for me was in 2011, when impact investing was just being talked about, especially in Asia.
Speaker: So I remember asking myself, I know finance, but how do we really apply impact? So back then, you know, was still so new. I didn't have the answer. And I thought, maybe I'll learn by by doing.
Speaker: And that's when I joined Southeast Asia Renewal Energy Fund, when clean energy was very, very nascent then. So I was involved in building solar, hydro, and wind projects.
Speaker: And that meant, you know, rolling up my sleeve, getting involved in terms of permitting, communities, and construction. And that was amazing because I saw firsthand how actually capital could really transform lives, but also the landscape as well.
Speaker: Another key milestone for me was in 2018 when I joined Tomase to focus on sustainability. And two years later in 2020, the impact team was set up. So it's been seven and a half years at Tomase. It's been quite a journey from building the team from scratch, clarifying our purpose and making sure we hold a high bar. I think it was both returns and impact.
Speaker: But I'm so excited in terms of what what's next to come. So that's my journey. Yeah, no, that's so great. Thank you so much. And I mean, this is also an opportunity to reflect on your achievements and to celebrate.
Speaker: We sometimes don't stop to celebrate what we have achieved so far. Can you share maybe one or two things that you're really proud of that you have achieved? Sure. I'm probably most proud of the journey that we've done Temasek, right? So from moving from, you know, kind of just talking to really hard wiring into who we are and what we do.
Speaker: So I was there when Suspense became one of the four core pillars of our t twenty study strategy and to be involved in the discussions in terms of our ambition. And I think now seeing it translate into actual platforms, portfolios on the ground, it's amazing.
Speaker: So along the years, I think we've stayed very focused on building the diversified portfolio that we have, but also kind of doubling down into thought leadership and capabilities building. um So I do hope that, you know, Tomasi is also recognized as a key contributor and convener in the impact space beyond just providing capital itself.
Speaker: Yeah, I'll say I think that's probably a key moment for me. Yeah, no, I mean, definitely. I think that it's a thought leader. It's a pioneer. i mean, at least in my mind. So yeah.
Speaker: a true testament to the great work you have been doing. I'm also asking this question of all my guests. How does it feel to be a woman doing your job? i see I think I've been quite lucky to be in positions and organizations that has actually given me equal opportunities to be involved and to be a ah leader as well.
Speaker: But definitely as a woman, it offers different lenss. So whether it's a diversity of views or maybe a different way in terms of weighing the risk and trade-offs. And so for me, i think being a woman does shape how I work.
Speaker: So I hope to bring a lot more empathy in terms of the discussions, you know, kind of being more intentional about factoring different stakeholder voices and of course being more long-term versus single transactions.
Speaker: So to your your earlier question, like holding the tension between profit and purpose, but also long-term versus short-term as well. And that's why I find mentoring is also very important.
Speaker: So over the years, I do have you know young female professionals coming up to me and say, oh, any any advice to get into the impact space or any career advice? So I've been quite lucky to be able to share. I think my journey, is honestly, ups, the downs, practical tips,
Speaker: So hopefully I think their journey is a little bit more clearer, but also ah less slowly. So if along the way, we can encourage more women to get involved and impact and to feel that they belong here, I think that's a meaningful part of our job.
Speaker: Yes, absolutely. I couldn't agree more. And are there any kind of tips that you feel have resonated best with the people that you have mentored?
Speaker: Yeah, I'll say you know, a few key advice. i say the first thing always is really know your purpose and your North Star, right? Really what motivates you. Because I think once you are clear ah with that, you know, you're very intentional about the choices you make, no matter what, you life's true at you as well.
Speaker: The second thing that works well for me was having the community around you. So, you I've been very lucky to have ah mentors to push me, managers support the work I do.
Speaker: And of course, you know, my team members, right? And believers who's been there as well. think knowing there's a group of people that you can rely on. So, so very, very helpful. And I think the the last one i always say is to have an open mindset.
Speaker: know In this world, you know with AI, there's so many changes. The world we know 5, 10 years ago is no longer the same. So I think we must be open to unlearn and relearn and also making sure that you have kind of time for yourself as well.
Speaker: So for me, that's you know spending time with family, exercising, reading, because I think that gives time to quieten your core so that you have time to kind of think and reflect as well. Yeah, brilliant.
Speaker: Well, we're kind of approaching the end of this recording. So three quick questions. Who or what is inspiring you? I say what keeps me going is quite simple.
Speaker: i think one on a personal note, you know, I do hope to leave the world a better place than when I found it. And really for my children and their generation. So that's my North Star.
Speaker: And that's why I really care how and where capital is being deployed. Because I've really seen firsthand how capital can actually be transformational to a lot of these families as well.
Speaker: Two, I think, you know, I've always been very inspired by how resilient the entrepreneurs and families are in emerging markets. So as part of our ah work, we do make trips.
Speaker: to the rural areas, we visit the families. And it's amazing that, you know, they don't have much, but they really make do with what they have. So it's it's also very humbling to say, you know, how they stay so positive and resourceful.
Speaker: And it's a very good reminder that, you know, we should do more to be able to contribute as well. Yes, absolutely. What is keeping you optimistic? And that's an important one, I think, given what's happening globally.
Speaker: So for me, I think the the partnerships and sometimes I think the friendships, ah that's actually formed around the work we do, it's so meaningful. I think fellow LPs, GPs, you know ecosystem builders like yourself, entrepreneurs who can come together to really tackle difficult challenges together.
Speaker: So knowing that this kind of community who feels very strongly about impact and returns actually makes it easier. I do hope that we are at or reaching an inflection point that impact is no longer niche, but moving to mainstream.
Speaker: Hopefully, fingers crossed. I think that sense of momentum and also having the right people around the table is what's keeping me optimistic. Yes, I share that. I share that. The friendships that you make along the way are really important it to me as well.
Speaker: Are you reading anything that you would recommend to the audience? So I'd like to share two books that have stuck with me. The first one is Out of Poverty by Paul Kolak. So it's a rather old book from 2008.
Speaker: But what's interesting is he approaches poverty, not from a problem of charity, but that of design and markets. So if you just listen to you know your end customers, these are people earning $1 or $2 a day that can actually potentially unlock tremendous opportunities that can also potentially change life.
Speaker: So it's a very good reminder that there are untapped potential if you you know pay close attention to your end customers. The other book, it's A Different Kind of Power by Jacinta Ardern.
Speaker: So I read it last year. As a female leader, it really resonates with me, her framing of leadership and power to really have empathy, think clarity and courage.
Speaker: So it's ah again, a good reminder that, you know, you can also lead with a head and a heart, right? To make important decisions, but to also be human, I think in times of crisis.
Speaker: So I do hope to bring that kind of leadership to both the investment and impact side. Amazing recommendations. I'm adding them to my list. Thank you so much. Do you have any final thoughts or advice for fellow changemakers or any specific ask of the listeners?
Speaker: Yeah, I think really let's move to action. Let's move from talking, being on the sideline and to really put real capital to work. So whether it impacts all emerging markets itself.
Speaker: I do hope let's work together across investors, across sectors, and more importantly, to really be focused on outcomes for people and planet, because I think that's how we can work faster together. Beautiful.
Speaker: Eliza, it was such a pleasure to have you today. It was a wonderful conversation. Thank you. Thank you so much. No, thank you for having me as well. I really enjoyed a conversation. Same here.
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Speaker: Women Changing Finance is part of the Impact Alpha podcast network. Smart conversations by and for impact investing professionals.
