2022 Summer Roundtable
Welcome Letter

 Dear Colleagues:

The worst pandemic in over a century had hardly begun to recede during PPI’s last convening when the most significant land war in Europe since World War II thrust a wrench into the global recovery. While concerns that miscalculations could escalate the conflict into a great power struggle remain in the background, more immediate worries over food shortages and energy supplies have driven-up worldwide commodity prices. The accompanying inflationary repercussions have created another layer of uncertainty buffeting a precarious economic horizon. Climbing interest rates, falling stock markets, and plummeting valuations paint a somewhat gloomy picture as we reach the mid-point of 2022.

Vladimir Putin’s decision to invade Ukraine triggered a chain reaction of divestment initiatives from Russian assets. The Western response—while swift and coherent—does not seem to have changed Putin’s long-term calculus that his “fortress” economy can outlast international resolve. As the fighting in Ukraine descends into a drawn-out war of attrition, Russia has begun weaponizing its oil and gas supplies with the belief that the fissures in European unity will become more significant cracks amid concerns over domestic prices and supplies.

Meanwhile, the ongoing climate crisis is spurring investment in renewable infrastructure and a transition to alternative energies, with the real-world cost of carbon assets a growing consideration for investors. Russian ambitions in the Arctic, long a concern for the West, have taken on a new urgency considering its violent aggression against Ukraine. As the global market slows, it is possible that innovation and technological developments could also stall. However, certain nations are better situated than others to provide an inviting ecosystem for the next set of unicorns.

Vancouver is a prime venue for exploring these trends and many more. A range of subject-matter experts from Canada will give us a unique viewpoint and perspective on a litany of topics crucial for the investment community. A member of the G-7, Canada’s vast geography and wealth of natural resources have long been an enticing boon for commodity investors. As the world seeks to transition to other energy solutions, Canadian investment funds have been at the forefront of this push for Net Zero emissions. Innovation hubs in her major cities are successfully recruiting global talent, with potential lessons for the rest of the world.

The 2022 Summer Roundtable convenes at somewhat of an inflection point. COVID is far from over, yet most of the world (China presenting a glaring exception) has decided to completely re-open their societies. Here at PPI, we remain committed to our hybrid approach to enable those unable to physically convene to participate in our ongoing conversation on issues pertinent to long-term investors. We will also continue discussing specific topics while initiating dialogues on new subjects. Our sessions are meant to be dynamic and interactive, and I hope you will take advantage of our speakers and subject matter experts to learn, engage, and share your insights and perspectives.

Please do not hesitate to ask if there is anything our team and I can do to make your time with us more enjoyable. We are grateful for your participation, and I hope you find your time with us enjoyable, stimulating, and beneficial. 

Lionel C. Johnson
President