Michael O'Leary on Shareholder Activism, Citizen Capitalism, and Impact Investing in the Consumer Sector (#031)

SRI360 | Socially Responsible Investing, ESG, Impact Investing, Sustainable Investing

In the fast-evolving world of impact investing, few individuals stand out as prominently as Michael O'Leary. Recently appointed as a Partner and Co-Head of L Catterton Impact Fund, Michael has a wealth of experience and a compelling vision for responsible capitalism.
Formerly a Managing Director at Engine No. 1, Michael made headlines globally by orchestrating one of the most successful impact-focused activism campaigns in history.
Despite holding a mere 0.02% of share capital, Engine No. 1 successfully replaced three members of Exxon's board, underscoring the potency of impact activism.
He was also on the founding team of Bain Capital's impact fund and invested in consumer, industrial, and technology companies through Bain Capital's private equity fund.
Now, at L Catterton, one of the world's foremost private equity funds specializing in consumer brands, Michael leads the charge in integrating sustainability and impact considerations into the firm's investments.
Michael's co-authorship of 'Accountable: The Rise of Citizen Capitalism' further illustrates his commitment to shaping the future of capitalism. The book delves into the promises and challenges of the sustainable investing movement.
With a solid educational background, including a BA in Philosophy from Harvard University and an MBA from the Stanford Graduate School of Business, Michael combines academic rigor with real-world impact.
In this episode, he shared a lot of insights into

- Shareholder activism for sustainability and development

- Citizen capitalism

- Impact investing in the public markets

- Impact investing in the consumer sector

- And much more.
I really learned a lot from my discussion with Michael, and I hope you will too!
Show notes: https://sri360.com/podcast/michael-oleary/
About the SRI 360° Podcast: The SRI 360° Podcast is focused exclusively on sustainable & responsible investing. In each episode, I interview a world-class investor who is an accomplished practitioner from all asset classes.
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Key Takeaways

Intro (00:00)

Michael O'Leary’s background (01:43)

Impact investment thesis (11:44)

Citizen Capitalism (14:14)

Exxon shareholder activism campaign (30:36)

Using shareholder activism for long-term sustainable development (47:33)

Does impact investing have any impact on public markets (50:43)

Impact investing in the consumer sector (57:22)

The biggest challenge to impact investing (01:16:45)
Additional Resources

Michael O'Leary’s LinkedIn

L Catterton Website

Accountable: The Rise of Citizen Capitalism Book and Featured Publications
Other Links Mentioned

Bain Capital

Engine No. 1

Deval Patrick

Warren Valdmanis

Exxon

An ESG Reckoning Is Coming