Restoring Virtue to Finance: Extracting vs Creating Value in the Financial Industry

Explore the critical intersection of ethics and finance in this thought-provoking 49-minute talk from The Aspen Institute. Delve into the fundamental concepts of finance, examining its current shortcomings and the distinction between value extraction and creation. Analyze the role of regulation and the humanities in shaping financial practices. Investigate various financial instruments and their impact on society, drawing insights from cultural references like The Maltese Falcon. Discuss the centrality of finance to the human condition and examine trends in value extraction. Consider the importance of risk management and insurance, while also exploring the spectacular nature of finance. Evaluate investor capitalism and its effects on low-income housing. Learn about strategies to restore value to finance, including the importance of humility and the debate between active and passive investing. Conclude by examining the potential of Employee Stock Ownership Programs in aligning financial practices with ethical considerations.

What is finance
Whats wrong with finance
Extracting vs creating value
Regulation
The humanities
The financial instrument
The humanities and finance
Making finance better
The Maltese Falcon
Finance is central to human condition
Where is value extraction going
Risk and insurance
Finance is spectacular
Investor capitalism
Low income housing
Bringing value back to finance
Humility
Active vs Passive
Employee Stock Ownership