Eric de Montgolfier - Chief Executive Officer, Invest Europe

There is no such thing as a normal year. After the recovery from the effects of COVID, 2022 was marked by volatility, uncertainty – a permacrisis. The Russian Federation’s invasion of Ukraine saw the return of military conflict to Europe, resulting in a chain of devastating human, societal and economic consequences that flowed across the continent.

There are, nevertheless, messages of hope that can be taken from the struggle in Ukraine more than one year on. Among them are resilience and solidarity. Resilience in the determination to stay strong in the face of adversity, and solidarity in the cooperation between nations against a common threat. Last year, Invest Europe donated €100,000 on behalf of members to the International Committee of the Red Cross’s relief efforts in Ukraine; we were joined by NVCAs and members. Now, as then, we stand in full support of the Ukrainian people.

The normal year may not exist, but there is great support in pursuing “business as usual”. Amid sharply rising energy prices, spiralling inflation and aggressive interest rate rises, Europe continues to need investment. Private equity and venture capital have been there to back companies and communities through uncertain times, drive innovation that will lead to a better tomorrow, and help fund pensions for European citizens.

Like the industry we are proud to represent, Invest Europe doubled down on many efforts and initiatives in 2022. Thanks to hard work from our team and members, we delivered achievements and made significant advances across public affairs, research & data, communications, events & training, and industry standards & sustainability.

Among our 2022 highlights are positive changes to regulation, including targeted amendments to the Alternative Investment Fund Managers Directive, exemption from the Corporate Sustainability Due Diligence Directive, and significant expansion of the European Long Term Investment Fund framework. We launched new reports to demonstrate the positive impact that our industry has on Europe’s economy and society, including our first mid-market publication, drilling into investment in SMEs and the European engine room for business and growth. We also began collecting data on ESG key performance indicators, an ambitious project to track the industry’s performance on climate change and other issues that matter to policymakers, investors and individuals.

Our communications team drove the development and launch of a ‘A Different Angle: Funding people, with purpose’. This ground-breaking film series in collaboration with BBC Global News casts private equity and venture capital in a new light before over two million people and has led to a measurable shift toward positive perceptions. 2022 also marked the full return of in-person events with over 1,000 attendees across Invest Europe’s entire programme, as well as the extension of live online and on-demand training to give industry participants flexible access to best practice and knowledge.

Across Invest Europe activities, one theme continues to stand out – our commitment to ESG. In 2022, we released ESG Reporting Guidelines to offer practical guidance on ESG reporting, backed by a series of webinars including essential information on European sustainability regulation. The direction of travel in Europe is well-defined, and the requirements on businesses and fund managers will only continue to grow. With this in mind, our new ESG committee, supported by a trio of working groups, will help our industry address the challenges ahead.

As we progress through 2023 – boosted by the integration of LPeC as our first Listed Private Capital Roundtable – we look forward to new milestones. This year is Invest Europe’s 40^th anniversary, which we are marking with a host of new initiatives. The objective is to showcase what private equity and venture capital is truly about: building better businesses that create jobs, sustain communities, drive economic growth, and address climate change and sustainability issues, while generating value that translates into returns to support European savers and pensioners in retirement.