House View by the Chief Investment Office
Which SDGs should private wealth focus on fulfilling?
Qualitative assessment of the 17 SDGs
16 January 2017 | Tags: World Economic Forum
Reading time: 5 minutes
This is an excerpt from the UBS white paper: Mobilizing private wealth for public good.
Private wealth alone cannot fulfil all of the SDGs. For one, the estimated annual investment needed to meet these goals (about USD 5-7trn a year or 7-10% of global GDP) is too much to fall on private investors’ shoulders alone.
Quality and efficiency of investment varies significantly across public, not-for-profit, and for-profit investors. And some of the economic problems that the SDGs are looking to solve can’t be remedied through more investment - some SDGs need regulation changes to capture long-term costs better, or to break down inefficiencies.
So taking these factors into account, UBS analyzed all 17 SDGs and asked the question: where would private wealth capital have the most potential impact in helping plug SDG funding gaps?
"Private wealth, whether philanthropic or for-profit, has a key role to play in funding the SDGs."
Breaking down the barriers to private wealth funding for SDGs
Before making recommendations about how to remove the obstacles preventing greater private wealth engagement in funding the SDGs, it’s important to understand in more detail what the barriers really are.