“POLITICS IS A CORE CONCERN FOR INVESTORS”
Switzerland has become an international centre for economic conferences, where Russia plays an important role. Pierre Lavaud, a hedge funds specialist and the organiser of investment conferences, comments on the part played by politics in Russian business and on Russian interests in Switzerland.
Geneva’s financial activities revolve around private banks. By definition, these players keep a low profile. Conferences aren’t part of their economic culture. If the subjects at stake don’t contribute any added value for the financial sector, then the conferences may not interest many people. On the other hand, Geneva is a hub for hedge funds in Europe, next to London and Zurich. It is therefore logical that international investors should meet in Geneva.
There seems to be two different types of conferences in Geneva: political meetings and economic conferences. Could we imagine some sort of cooperation between the two? We’ve noticed that there is no real dialogue between the worlds of finance and international organisations. These two universes have different logics and should communicate more. In our economic conferences, we always introduce a political and macroeconomic perspective.
This is especially relevant for a country like Russia, where politics can have a considerable influence on business.Exactly. Politics is a core concern for investors. They know that political developments have an impact on the economic stakes in the region. With the crisis in Georgia, for example, we have seen how important dialogue is.
Russian conferences with strictly Russian subjects seem to be increasing in Geneva and in Zurich. Any explanation for that? Geneva is a neutral location, where sensitive subjects that don’t have anything to do with Switzerland can be discussed. Our purpose is to get international investors interested in Russia and in emerging markets. These regions are difficult to reach and hard to understand. Many international actors are likely to come to Geneva, because they already have business connections there. Participants in our conferences often take advantage of the opportunity to go and see their banker or their business associates in Geneva.
And why are international investors interested in Russia? Geneva is a key hub for Russia, and Russia is our spearhead. It attracts many international businessmen. Also, the Russian community has become acquainted with Switzerland. They are accustomed to coming here and have even frequently set up companies here. Besides, Moscow is only three hours away by plane. The Russian economy has developed considerably in the last fifteen years. And despite a severe economic setback recently, the medium and long-term potential for development remains strong.
