Launched in Paris after the publication of the European Commission Green Paper on the Long-Term financing of the European Economy, in July 2013, the European Long-Term Investors Association (ELTIA) gathers 27 European long-term financial institutions. With a combined balance sheet of € 2.45 trillion, ELTI’s goal is to promote long-term investment in close alignment with the objectives and initiatives developed by the European Union to foster sustainable, smart and inclusive growth and job creation.
Given the rapid changes our societies are undergoing and the ‘short-termist’ tendency of many economic and political actors, the need for long-term vision is more important than ever. The implementation of far-reaching global objectives such as building sustainable infrastructure for sustainable investment, fighting climate change or innovating in our resources consumption and in production technologies is not only an absolute necessity: it is also a path, in itself, to recovery from the current crisis on a new basis to avoid its return and ensure the well-being of future generations.
Shifting to a low-carbon economy, saving natural resources or adapting to rapid urbanization, will require major investments notably in the fields of energy saving and renewable energy, water, telecommunications and transport infrastructures as well as technology innovation. These are all sectors which themselves can yield high financial, economic and social returns for patient capital while creating smart, sustainable and inclusive growth and jobs.
As the European Union experiences a crisis of its fundamental political project, many of the Member States’ budgets and the EU budget itself are constrained by recovery plans and banks are struggling to adapt to the new prudential requirements, there are now few options but to encourage long-term investors to cooperate in taking up the challenge and help them through suitable regulatory frameworks and appropriate incentives.
Goal and Activities
The Association has no commercial purpose and pursues the following non-profit-making objectives at international level:
- represent, promote and defend the shared interests of its Members;
- strengthen cooperation, including at an operational level, between European financial institutions as well as with other Institutions of the European Union (EU) acting as long-term financiers;
- develop the concept of long-term investment within the economic and financial sector;
- promote academic research on long-term investments
- inform the EU and its institutions on the role and potential of the Members as institutions and agencies for long-term financing;
- strengthen the access of the Members to information on matters related to the EU;
- exchange information and experiences among Members and with national and international organizations sharing the Association’s interest in the promotion of long-term investment.
To that end, the Association proposes to carry out the following activities:
- to inform its Members regarding the discussions, initiatives and measures conducted by the institutions of the EU;
- to initiate and publish research programmes or studies and to hold conferences for the Members;
- to promote convergence and common positions among its Members with a view, in particular, to responding to consultations launched by the European Commission;
- to exert influence on EU Institutions and act as a common interlocutor in dealings with such institutions, notably by acting as a spokesperson for its Members in dealings with EU institutions and bodies, without prejudice to the separate freedom of expression of each Member.