Dialogue with the Legendary Rothschild Family

The Rothschild family, originating in Frankfurt, Germany, established a European banking dynasty starting in the late 18th century, that came even to surpass the most powerful rival banking families of the 1700s such as Baring and Berenberg. During the 1800s, when it was at its height, the Rothschild family is believed to have possessed by far the largest private fortune in the world as well as by far the largest fortune in modern world history.

On April 8th, 2013, the serial event Dialogue with Financial Gurus hosted by SAIF Finance EMBA was held at Datong Square. Lady Lynn Forester de Rothschild and Sir Evelyn Rothschild were invited to shed light on Inclusive Capitalism. Prof. Zhu Ning, Deputy Director of SAIF, chaired the event.

Since June 2002, Lady de Rothschild has been the Chief Executive of E.L. Rothschild LLC, a private investment company with investments in media, information technology, agriculture and real estate worldwide. Lady de Rothschild has been a director of The Estee Lauder Companies since December 2000, The Economist Newspaper Limited (member of the Audit Committee) since October 2002.

Sir Evelyn is currently Chairman of E.L. Rothschild, a private investment company.  He is Chairman of the ERANDA Foundation, a family foundation he founded in 1967 to support charities working in the fields of medical research, health and welfare, education and the arts. In addition, Sir Evelyn currently serves as a Governor Emeritus of the London School of Economics and Political Science, Fellow of Imperial College London and is an Honorary Life President of Norwood and Ravenswood Children’s Charity. He was knighted by Queen Elizabeth 11 in 1989 for services to banking and finance.

First, Lady Lynn Forester de Rothschild pointed out private enterprises should implement the model of inclusive capitalism and proposed three principles to achieve it: first, private enterprises need to emphasize on developing professionals by means of improving vocational education; second, the owners of private enterprises should encourage SMEs implementing the model, not only to diverse the source of suppliers, but also to improve the entire business environment; third, private enterprises ought to focus on long-term investment. Some institutional investors usually judge whether the management of companies implement long-term investment strategies by reviewing their balance sheet. “Only when private enterprises implement these principles will the model of inclusive capitalism take effect.” Lady Lynn Forester de Rothschild added.

Sir Evelyn Rothschild then introduced the relationship between the Rothschild family and China and emphasized the importance of abiding by business ethics. “One of the issues of business ethics in banking sector is to overly pursue profit and violating business ethics. Banking sector should establish a warning system to punish the bankers who commit unethical behaviour.” said Sir Evelyn Rothschild.

During Q & A Session, Lady Lynn Forester de Rothschild and Sir Evelyn Rothschild had had a heated discussion with audience on hot economic issues.