How Climate Change Changed Me

When I learned that the New York Times was planning to report on my time as an investor at Farallon Capital Management, I wanted to sit down with the reporter while I was in New York City to discuss the issue in person—and on the record. After all, it was important to me that they have the facts about investments made under my leadership, my subsequent decision to step down from the fund and why I have sought to engage politically on the issue of climate change. The timing didn’t work out for the reporter, and the New York Times subsequently declined my request to run this op-ed in my own words.

The article that ran, which detailed fossil-fuel investments that my former firm made when I was leading it, suggested that those investments were inconsistent with my current advocacy for more progressive energy policies. As I offered to say then, I will say now: I left the firm and committed myself to addressing global climate change because—based on the scientific evidence—I could not reconcile my personal values with managing a fund that by mandate is invested in all sectors of the global economy, including fossil fuels.

Farallon, as defined by both the returns generated for its investors and its professionalism, is a high performing investment organization, but its personnel were never focused on climate impacts. And it’s true—Farallon did make fossil fuel investments under my watch. But the more I learned about the energy and climate problems we currently face, the more I realized I had to change my life. I concluded that the best way to align my work with my beliefs was to make a real change—leaving my role managing a firm with investments across the industrial spectrum, and instead joining in the global effort to find a solution to climate change once and for all.

Let me be clear—climate change is bigger than any one person. I believe it is truly the most pressing issue we face, and one that if not addressed will have profound consequences for our kids. As a very senior and very conservative investor friend told me, “You never put the entire enterprise at risk. That’s bad business.” And yet, that’s what our society appears to be doing.

We cannot continue to ignore the risk. Together, we must look at the evidence and make different and better decisions. And that starts with individuals considering their own actions—and taking personal responsibility and changing their actions.

As the Times story said, I left my job at Farallon 18 months ago and have since divested my fossil-fuel holdings. To prevent any possible conflict of interest, I no longer own any stake in Farallon or have any influence over its actions. However, I do personally hope that firms like Farallon begin to consider the impact of climate change on their investments. To that end, I have publicly and privately advocated that the risk posed by climate change become a factor that funds take into account.