In the future there will be a growing demand for long-term investment both in the advanced and in the emerging countries. In mature countries, there is a pressing need to finance infrastructure, innovation, environmental programs, as well as to prepare for the consequences of an ageing population. In developing countries, the income per capita catching up process is requiring vast investment in infrastructure (transportation, TLC, energy, urbanization). An intense and positive competition for long term finance, therefore, will characterize the world in the coming years. There is a general need to enlarge the worldwide share of financing for long-term capital investment at the expense of the short termism and speculation.
In 2009 Caisse des Dépots, Cassa Depositi e Prestiti, the European Investment Bank and Kreditanstalt für Wiederaufbau created the Long-Term Investors Club (LTIC) with the aim of bringing together major worldwide institutions to emphasis common identity as long-term investors, to encourage cooperation and to foster the right conditions for long-term investments in promoting growth. Today the D20 Long-Term Investors Club gathers 18 major financial institutions and institutional investors from all over the world mainly from G20 countries, representing a combined balance sheet total of USD 5.4 trillion.
The D20 LTIC has done much progress since its foundation to foster long-term investment not only in the EU but globally. Cooperation among members has developed sensibly and policy makers, at the European and G20 level, are increasingly aware of the role LTIs can play.
We believe that a long-term vision of finance and economy represents a real change of paradigm to get a strong, sustainable and balanced growth in global economy