New Malta-based firm seeks to connect coops to ‘immense capital’ in pensions markets

“Imagine a world where public ownership is characterised by community-driven investments that shape the future for the benefit of those communities. Investments supported by purpose-oriented investors and institutions who appreciate that sustainable financial investment and socially conscious impact investing are not mutually exclusive but can be a force for good.”

That is the guiding light of Coop Exchange, an initiative whose EU base on Wednesday in Malta that aims to “revolutionise the economic landscape” by connecting the “immense amounts of patient capital that exists in the pensions markets” – predicted to hit $40 trillion (€36.6 trillion) of ESG assets by 2030 – with businesses that deliver long-term sustainable growth through purpose-driven and people-centered approaches: cooperatives.

Speaking at the launch event, held at Villa Bighi, Founder and CEO Stephen Gill emphasised the importance of aligning investments with cooperative values: “Younger generations are demanding a new way of doing business, pushing those in power to address wealth inequality and driving investment towards community-owned, purpose-oriented organisations. Cooperatives, with their inherent values of equity, solidarity, and mutual support, align closely with the principles of ESG investing.”

Mr Gill has been working with coops for over two decades, helping UK cooperatives solve their technology problems.

The USA-based National Cooperative Business Association notes that he designed the FRTS Link software that is used by the majority of the food coops in the UK.

The event was addressed by a line-up of distinguished speakers, including Prime Minister Robert Abela and Minister for Finance Clyde Caruana.

Dr Abela highlighted Malta’s ambition to lead in sustainable finance and digital transformation and expressed pride in Coop Exchange’s decision to establish its EU base in Malta, noting that it aligns with the country’s efforts to drive funds towards activities that support climate neutrality and societal welfare.

The Prime Minister assured that his administration will fully support Coop Exchange in becoming an integral part of Malta’s dynamic and progressive financial sector.

Dr Ariel Guarco, President of the International Cooperative Alliance (ICA), highlighted the global impact: ” By directing resources towards a triple impact: economic, social, and environmental, Coop Exchange demonstrates that cooperative principles can and should be put into action through concrete tools that generate visible fruits for cooperatives and strengthen the cooperative ecosystem globally.”

The line-up also featured several of Coop Exchange’s non-executive directors, with many holding prominent roles in the global cooperative network.

Shaun Tarbuck, Non-Executive Director of Coop Exchange and CEO of the International Cooperative and Mutual Insurance Federation (ICMIF), spoke about the necessity of long-term thinking within the cooperative movement, while Dame Pauline Green, another Non-Executive Director of the new firm and former ICA President, emphasised the need for innovative solutions to cooperative capital and the potential for Coop Exchange to double the size of cooperatives in the UK and worldwide.

Barry O’Dwyer, Non-Executive Director of Coop Exchange and Group CEO of Royal London, underscored the importance of ESG considerations for millennials and Gen Z, and how Coop Exchange connects patient capital in pensions markets with businesses that prioritise long-term sustainable growth.

Jeroen Douglas, recently appointed ICA Director General, addressed the critical issue of growing inequality and how Coop Exchange can offer inclusive finance to close the income gap.

Jane Zammit, a Masters student in Sustainability, Climate Change and Transition to Net Zero Economy, echoed the importance of cooperatives in addressing the climate crisis: “Our generation is acutely aware of the climate crisis. Cooperatives play a crucial role in the transition to a net zero economy by aligning economic activities with social and environmental goals.”

Martin Chrisney, One Americas ESG Chief Operating Officer, concluded with a vision for the future: “The business principles of cooperatives align 100% with the SDGs and the Paris climate goals. Coop Exchange is the platform where cooperatives and investors can define new products, services, and structures to meet the requirements of the cooperative movement, solving some of the most pressing global problems.”