Recently, TSC joined Climate Week NYC. We were there for conversations, sessions across the field, and a co-hosted System-Level Investing Knowledge Lab gathering with TIIP.

It’s impossible to summarize such a busy week, but three themes stood out.

First, systemic risks—like nature loss—are increasingly being recognized as portfolio-level challenges. At the same time, the race to develop AI and finance the resources it needs is creating a market where its systemic risk is difficult to acknowledge and address. While other systemic risks are no doubt important, interrogating the market imbalances created by AI and its implications is an imperative for system-level investors.

Second, can be an important building block for the adoption of system-level investing. In practice, impact accounting and valuation involves the quantification of social and environmental impacts produced by a company in a way goes beyond mere metrics and helps understand the effects that they produce and how important those effects are to stakeholders. By helping investors understand and compare the harms and benefits created by externalities across issues and companies, these approaches can help quantify portfolio-level effects, identify what financial returns may be “left on the table” when market inefficiencies persist, and create insight on solutions that can mitigate them. There is an opportunity for greater collaboration between the system-level investing and impact accounting/valuation communities. To learn more about impact accounting and valuation, we recommend exploring the resources of the Impact Valuation Hub.

Third, and most importantly, our joint session with TIIP brought together a full and engaged room to explore what system-level investors can do to address systemic risk, alongside a live demo of TIIP’s SAIL platform showing how those ideas can be put into practice. It was a strong reminder that collaboration and complementary approaches will be essential to building a resilient and sophisticated practice of system-level investing—and we look forward to more joint sessions.

Thanks to everyone who joined our session or reconnected with us. For those who couldn’t, we’d still be happy to connect and encourage you to participate in our upcoming roundtables.