Junk Yard

Our Mindset

We identify the urgency to decrease carbon emissions in regards of the development of worldwide urbanization and its middle class. According to World Bank notes, China alone is set to add one billion people to the global middle class between 2005-2030. Emerging middle class will significantly drive the demand for many consumer goods which will require critical raw materials. These materials are essential to securing the transition to green energy technologies. In addition, and according to CDP, a company’s supply chain emissions are on average 5.5 times larger than its Scope 1 and 2 emissions; thus, the Scope 3 emissions  is crucial to meet the aims of the Paris Agreement and limit global warming to 1.5°C. Scope 3 includes all indirect emissions occurring in the value chain of the reporting company, including both upstream and downstream emissions.

Ethical and transparent supply chains are a priority to disrupt the traditional supply/demand concept based on short term strategies and their speculative considerations. All initiatives in that direction and its active communication will impact on the mindset of consumers and shareholders.
 

To afford such ambitions, Innovation Communities are promised to develop. Innovative and sustainable products, processes, and services, as well as skilled people will constitute these elements which will lead us towards a circular economy.

Today, we must act and engage ourselves when considering the rising of major challenges such as the integration of sustainable finance, climate change, resource scarcity, digital transformation, fast urbanisation, the changing in economic landscape, demographics and social changes. 

We promote the financing of long-term solutions such as innovative technologies and transparent supply chains with the view to rethink our current linear economic model promoting circular economy and accelerating the shift to a low carbon and resource-efficient economy

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Our Strategy

The strategy aims, thanks to a pro-active ESG impacts monitoring, to act efficiently by driving the flow of investment on facilitating sustainable supply chains of Raw materials with the view of generating shared value to all stakeholders.

Our Six Pilars of our investment philosophy

1.    We take a long-term view

 

2.    We conduct a proactive approach in SRI

 
3.    We align our goals

 

4.    We act transparently

5.    We have a positive impact on our business sector

6.    We are an informed Investor

Our Vision

Our SRI approach aims to bend the flow of capital towards sustainable solutions impacting raw materials-energy efficiency supply chains over the long term. In this regard, it envisions to reduce the short termism impacting markets, industries, government’s policies, while unlocking new dynamic and synergies link to transparent and value-added supply chains. 

Pension funds are recognized as ideal providers of sustainable finance (long-term finance). They have begun shifting towards equities and alternatives over the past decades.  Diversification is a necessity within a low interest rate environment for superior risk adjusted returns. Among alternative assets we can mentioned: Infrastructure, Energy, Real Estate, and private equity. Raw materials are present in all these alternative assets.

 

Today the world has committed to succeed with Energy transition.  Simultaneously the 'commodity transition' has started. The role and the types of metals feeding our energy for the future requires a new and responsible investment strategy which aim also to contribute to the integrity of financial markets.

 

From final product to raw material, the aim will be to control CO2 emissions, transparency and ESG impacts along the value chain, while tending towards increasingly short and sustainable circuits, reducing the need for primary resources. The trading companies will no longer seek to play resellers on the volume of raw materials but will be stakeholders in sustainable objectives, becoming the privileged intermediaries negotiating shared value.

ethore wants to mobilize such long-term finance to influence supply chains requiring critical raw materials for energy transition and decarbonation. 

 

The fundamentals behind such investment plan are to favour sustainable solutions, but also supporting innovative technologies, energy efficient products, circular economy, while participating to education and entrepreneurship (self-governance) in communities exposed to mining or raw materials sourcing. 

 

Globally the Raw material supply risks have been exacerbated by the Covid-19 pandemic. To overcome this, the approach of OEMs is to develop more efficient supply chains and to prefer materials with an increased life cycle by recycling or reconditioning (Closed-Loop supply chain). European investments are now moving in this direction, and the potential for growth in all the new players in these sustainable supply chains is extremely promising in terms of performance.
 

The markets have recently shown us this craze for stocks that belong to the battery or hydrogen chains. Logistics chains must be thought of as a whole and not from one link to another. This anticipation will make it possible to change old habits and why not label certain circuits. We know that price volatility is a barrier to sustainability. The expectation of short-term gains is set to disappear.
 

Our Responsible Investment Charter

The backbone of any SRI ambition.

 

We believe ethical and transparent supply chains are also a priority to disrupt the traditional supply/demand concept based on short term strategies and their speculative considerations. All initiatives in that direction and its active communication will impact on the mindset of consumers and shareholders.

 

To afford such ambitions, Innovation Communities are promised to develop. Innovative and sustainable products, processes, and services, as well as skilled people will constitute these elements which will lead us towards a circular economy.