OECD Long-Term Investment Project
The OECD Project on Institutional Investors and Long-Term Investment brings together the world’s largest pension funds, insurance companies and sovereign wealth funds to promote long-term investment (LTI) such as infrastructure, addressing both potential regulatory obstacles and market failures. For more information on the project as well as upcoming research and events, please visit: www.oecd.org/finance/lti
The increasingly short supply of long-term capital since the 2008 financial crisis has profound implications for growth and financial stability. Launched in 2012, this project aims to facilitate long-term investment by institutional investors such as pension funds, insurance companies, and sovereign wealth funds, addressing both potential regulatory obstacles and market failures.
Why is long-term investment important?
Patient capital allows investors to access illiquidity premia, lowers turnover, encourages less pro-cyclical investment strategies and therefore higher net investment rate of returns and greater financial stability. Engaged capital encourages active voting policies, leading to better corporate governance. Productive capital supports infrastructure development, green growth initiatives, SME finance, etc., leadng to sustainable growth
OECD: Institutional Investors and LTI Future Research and Events (PDF) Paris 17 April 2014
OECD: Project letter to LTI Club (PDF) Paris 18 April 2014