It wasn’t about the money. It was about the people. Although the 2008 Global Financial Crisis saw trillions of dollars evaporate from global capital markets, the steady erosion of investor confidence has been the most significant fallout. As many investors today stand on the sidelines, held back by a mix of bad economic news and a lack of trust in market integrity, fundamental problems loom on the horizon as individuals fail to save adequately for retirement or to grow their savings. For the industry to win back investors it’s going to take time—and CFA charterholders have a role in helping to rebuild trust and ease the stand off between investors and the market.
This was the main message from CFA Institute president and CEO John Rogers, who recently addressed the Economic Club of Canada, a speech that is covered in this issue “A Matter of Trust,” by Pauline Lai. But it is echoed throughout this issue of The Analyst, which touches on concepts of trust and equality in various ways. Charterholder Dan Lavallee, in particular, notes in “Keeping the Pension Promise”, that “the finance industry has lost a lot of credibility since the Financial Crisis in 2008,” and the resulting market uncertainty is making it tough for the industry to attract investors.
Can the industry turn it around? Rogers believes it can—through the hours and years that CFA charterholders have spent honing their skills, they can rebuild confidence and foster the trust needed to bring investors back.
It’s clearly a call to action: Are you ready to hear it?
Finally, as The Analyst’s new executive editor, I am excited about the prospect of bringing you quarterly content that is eye opening, insightful, and useful as you do your jobs in increasingly challenging times. I am fortunate enough to be able to build on the hard work of the CFA Society Toronto’s communications committee, lead by Rossa O’Reilly, the outgoing chair and editor.
I welcome your feedback, comments, and suggestions for topics and look forward to helping CFA charterholders stay in touch and stay on top of the industry.