Delano June 2022 by Maison Moderne

JUNE 2022

No. 90

Luxembourg in English

Lydie Polfer: Direct contact with citizens The Luxembourg City mayor on participatory meetings, mobility and security challenges, and the capital’s cosmopolitan population.

Sustainability business report 5 453000 010015 90 €4

Smart policy to reap rewards Confirmation from education minister Claude Meisch (DP) on 10 May that term time daycare will be free of charge for children in primary school as of September will be greeted with relief by parents struggling to cope with the increasing cost of living. Even with the salaryrelated chèques-service childcare voucher, paying for daycare outside school hours can add a hefty sum to many families’ monthly household outgoings. Coupled with plans to make school lunches free of charge for all children and teenagers attending primary and secondary education, the new progressive package will cost the state an estimated €22m per year--a drop in the ocean of the €23.5bn expenditure planned in the 2022 state budget. Some parents, like Jules Clement, are unhappy though. Clement is the author of a petition that was debated in parliament just a few days before Meisch made his announcement. He and the 4,900 people who signed his petition want equal financial compensation for parents who decide to care and feed their children at home rather than at a maison relais out of school hours. Clement argues that parents are being financially punished for making that choice. Indeed, many parents do not even have a choice because they work part-time--meaning they are not priority for what are often a limited number of places at a particular facility--or their job involves shift work. Clement reckons that offering parents some sort of financial compensation could allow more people to take up part-time work.

In fact, part-time employment in the grand duchy is falling again after reaching a high in the pandemic-related second quarter of 2021. It has long been thus. 2020 figures released by the OECD showed the part-time employment rate at 12.8% of all employment, just below the EU average of 15.1%, and well below Germany’s 22% and the Netherlands at 36.9%. Whether encouraging more people to move to part-time work is ultimately beneficial to Luxembourg’s economy--with its current skills gap--is questionable. What’s more, even if they want a better work-life balance, many families with mortgages who want to retain a semblance of their current lifestyle cannot afford for one parent to not be in full-time employment. Indeed, the government’s decision on childcare may encourage more parents who would otherwise have stayed at home to return to work after their child reaches primary school age. The new policy, like other progressive childcare policies launched by this government such as more flexible parental leave, not only looks like a vote winner but could also reap rewards for the economy.

Editor-in-chief, Delano digital DUNCAN ROBERTS

JUNE 2022

Editorial #Childcare

Contents June 2022

Ristretto

30 Business report

“We want them to use their right to vote”

38 Head to head

–

MARS DI BARTOLOMEO VS LÉON GLODEN

The future of the monarchy

08 #BUSINESS - SABRINA SAGRAMOLA

–

10 #FINANCE - GIANLUCA FRENA

“Sustainability risk and ESG are not the same” –

12 #CULTURE - FRANÇOIS REINERT

“We have stepped into adolescence” 14 Dashboard

Photos

Guy Wolff, Illustration

Salomé Jottreau

Countdown to the local elections

p. 16 Luxembourg City mayor Lydie Polfer says citizens’ participation meetings are a chance for the administration to take residents’ real concerns into account

40 Essay

The power of strategic foresight 44 Gusto

Dining near the airport

Conversations 16 POLITICS - LYDIE POLFER

“Exchanges with citizens show that society still functions” –

46 Business club 50 Pick’n’mix

Behind the pop-up

22 FINANCE - SERGE WEYLAND

“What are we trying to achieve here?”

p. 22 Serge Weyland says digital ledger technology is finally gaining ground in the funds sector

p. 40 How consultancy services are helping business leaders navigate and anticipate upcoming trends

JUNE 2022

Sustainability

06 #POLITICS - JEAN KONSBRUCK

“We have never had such a big pavilion as this year”

Ristretto #Politics

JUNE 2022

“We want them to use their right to vote” The advantage of being mayor of the grand duchy’s smallest commune is being able to listen to every citizen’s issues, says Saeul mayor Jean Konsbruck. Mayor since 2019, Konsbruck talks about close-knit communes and the upcoming elections.

Saeul is Luxembourg’s smallest commune in terms of population. What are the challenges? We’re coming close to 1,000 citizens now. Once we reach that threshold, we’ll receive grants from the global endowment fund for municipalities (FDGC). We currently don’t receive anything even if, like every other municipality, we have to support the same infrastructures, among others. The state offers subsidies to merging communes. Is it in Saeul’s plans to fuse with surrounding communes? The previous CSV government wanted to bring the number of municipalities to 60 so that there would be full-time mayors and a third chamber could be set up. As has been the case with the Helperknapp merger, you can see where the problem lies: suddenly a commune gets too large. [In Saeul] you still know the people; you know their issues. You can really provide tailored answers to their needs. With big communes, there’s no unity in large communes anymore. Children have to go to a central school, for example, and then don’t have local friends anymore because their friends are spread across several villages. In 2019, 25% of Saeul’s population were non-nationals. How do you facilitate their integration into the community? We have 33 nationalities in our commune and put a lot of importance on association life. People approach newcomers anyways, but, unlike other municipalities--which organise the traditional drink for new residents--we organise a summer festival with the commune’s different associations. That’s how you get to know people, and people regularly ask about when we’ll set up another one. We also participate in the ‘fête des voisins’ [neighbourhood party] initiative.

What about those who don’t speak Luxembourgish? Most people speak French or a little bit of English, so it still works out. We try to adapt and get through to people. It’s important. The elections are coming up next year. Where are the challenges in organising the vote and including foreign inhabitants? Saeul works a lot with the canton of Redange, collaborating as 10 communes. Otherwise, we wouldn’t be able to offer a number of services to residents. We’re also launching a campaign to encourage people to put their name down on communal lists. We distribute flyers and set up information sessions. Our communes want people to participate in communal elections. Many don’t because they’re not interested, or they don’t dare to, because of the language barrier, etc. We do try as a canton--because it’s an issue in the entire country--to motivate all residents to join, so long as they meet the legal requirements, of course. We want them to use their right to vote. That’s the most important part in a democracy. It’s a democratic right to use your vote. Interview TRACY HEINDRICHS Photo ROMAIN GAMBA

Jean Konsbruck believes in doing politics for residents, not a party

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JUNE 2022

Ristretto #Business

“We have never had such a big pavilion as this year” From 30 May to 2 June, one of the world’s largest industrial trade fairs will take place: the Hannover Messe. Sabrina Sagramola of Luxembourg’s Chamber of Commerce discusses digital networking and the chamber’s strategy.

Like other events of its kind, the Hannover Messe was cancelled in 2020 and went digital in 2021. What lessons were learnt in the process? Last year we were strongly present in digital form, although we realised that it wasn’t the same because all the parameters were new. They were new for the trade fair organiser; they were new for us in making such an event successful… it’s more difficult to run a digital pavilion because you don’t have the natural flow that you have at a fair; and, of course, it was also difficult for companies because they had to deal with new digital tools… All this has made us put in place a reinforced individual assistance approach that is even stronger than what we used to have. There’s been a question mark even this year--the Hannover Messe has suffered because the date was postponed… which is a strong sign [that it wasn’t cancelled], because nothing in the trade fair business can replace the human side of negotiation, be it the B2B aspect or to pitch a project, see a product and so on. Even if there are sectors that have done this in digital form very well, like the medical sector, I think in this world the human component prevails--which is a good thing. We were afraid of how companies would see it this year. Shall we go? Is it stable? How can we reach critical mass? And I was really overwhelmed to see the strong interest in Luxembourg, because we have never had such a big pavilion as this year: we have 12 companies. It seems that, in the business world, networking in the traditional, in-person sense remains the major way in which connections are made and deals are eventually struck. Is networking something that resists digitalisation? I see it as a very important added-value service, but not as a replacement. It has been a replacement

recently because we had no choice. And, of course, we have digital evolution and integration, which goes very fast and which happens in parallel. So maybe digital networking will become more natural, but it will never replace human networking. That’s why I consider it… a complementary added-value service, an additional service that we can offer. Digital networking can accomplish other things that maybe human networking cannot, and vice versa, and I think we have to bring all these ingredients together to really give a maximum of opportunities to our Luxembourg companies. What is the Chamber of Commerce’s strategic approach to fairs like this? A before/during/after approach. It’s not just that you go to Hannover and try to make something out of it. We have to prepare our companies. That’s why we do information sessions about the fair: What is new? What can you expect? What are your questions? What are your expectations?… And then the next step will be: What happens afterwards? How can I optimise the business leads that I get at the stand? We also guide them during the event to optimise their meeting schedule. And we follow up with them afterwards. The follow-up becomes maybe even more important in this digital part, because digitally you can remain connected. The tools that we use nowadays, they have algorithms and so on--and social networks also play a very important part.

Sabrina Sagramola is the manager of international affairs at the Chamber of Commerce

Interview JEFF PALMS Photo MATIC ZORMAN

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Ristretto #Finance

JUNE 2022

“Sustainability risk and ESG are not the same” Investors sometimes misunderstand the meaning of ‘sustainability risk’, says Gianluca Frena, member of the Association of the Luxembourg Fund Industry’s sustainability risk management committee. There’s a lot more money flowing into private market funds. From a risk management perspective, is that raising alarm bells? The fact that we have more money coming into the sector will not necessarily drive additional risk. Although we see, from the regulatory perspective, that some pockets of risk have been identified, for example, liquidity mismatch in specific asset classes, there is not always the right understanding that the profile of liquidity that is apparent to the investor is the same one of the assets that the fund is being invested into.

I’m investing into will [or will not] potentially cause harm to the environment, or has solid social and governance practices, and so forth. And then there is the element of sustainability risk. That is, how my assets are going to be impacted by things like climate change, by things like increased emission costs, like increasing magnitude and frequency of meteorological events. Sometimes when I hear people talking about ESG, they seem to mix these two topics that, if you look at them from the right perspective, are not the same, they’re very different. Sustainability risk doesn’t exist only if you care about ESG. You have sustainability risks that are there regardless, which is important that we start understanding because we might have real risks that will come up, not in the next year, but potentially the next five, 10, 30 years, as we see the development of emission levels and consequent regulation that is coming to try to fight it.

What’s behind the misperception? The thing is, we do consider that we can buy into a fund and it’s essentially like putting money in the bank. There is a need for people to understand that, in fact, this money has been invested, and there can be different risk profiles and different characteristics which are being invested into. Clearly a real estate fund, even if it’s open-ended, will not be like giving money to the bank. We have other cases, maybe investing in specific assets like high yield, which are typically almost very liquid. But in certain situations, the tap can dry out. And we don’t consider that when we perform our investment.

So sustainability risk could mean, if we’re talking about a real estate fund, that climate change could damage the property? It’s not just about the physical hazard, it can also be the cost of consumption, it can also be how much fuel they use to heat or whether they have some photovoltaic panels in order not to be so [energy] dependent. So, you see, it’s not an easy topic. There are always multiple ways of looking at the same things and to get different understandings of what are the risks, what are the opportunities and how to define how to handle that.

How does the approach vary for risk managers at illiquid funds? They work with different assumptions than the liquid world. [For liquid investments] you assume that prices that you see for the securities are fair, they have been traded by thousands of people around the world. On the other hand, in the alternative world, as you don’t have the data, you cannot rely on the price. You have a price, but you know that potential factors are going to drive this price in the future. It will be up to you to think about them and to try to model them. Is there anything about sustainability risk that you’d like to clear up? The importance of making a clear differentiation between what is ESG investing, how I select my investment in a way that the company

Gianluca Frena is a senior manager at Deloitte

Interview AARON GRUNWALD Photo ROMAIN GAMBA

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Ristretto #Culture

JUNE 2022

“We have stepped into adolescence” July will mark 10 years since the inauguration of Luxembourg’s Musée Dräi Eechelen. The delegated director of the museum, François Reinert, unveils plans linked to the occasion and recalls some key achievements. What key milestones would you like to underscore since the museum opened to the public in 2012? Our activities have evolved over the last 10 years, as shown by unique exhibitions that demonstrate our national heritage and showcase the evolution of Luxembourg’s identity. The multimedia formats in exhibitions have also advanced over this period. A monumental event that brought great exposure internationally--but also among resident communities--was the 2017 visit of the Duchess of Cambridge [Kate Middleton] and the exhibition to mark the 150th anniversary of the signing of the Treaty of London. I see our key milestones in terms of each exhibition, which is always evolving. Each exhibition attracts different groups and distinguished guests based on the topics. At 10 years, we have stepped into adolescence and reached a point where we have to take stock of what was good or not so good to see how we evolve further. What will be the focus of the next temporary exhibition? The exhibition will show a decade of the museum’s collections. What we were able to acquire, what was offered to us and what we bought in the past 10 years. Often, before each exposition, we collect some rare historical pieces people show to us, and what we will do as part of this exhibition is to display the most interesting pieces. We have made a choice and will present them in more detail. Some of the items are from ancient families that have migrated, and the pieces have artistic and/or historical value. They represent pieces of a bigger story, and if you consider the different elements, you will have a global understanding about these people communicated via the pieces. The exhibition will last until March 2023. We will then see if we should prolong it. Past exhibitions have mostly been thematic, but this time we will focus on the object as a whole and say as much as possible about the object in detail.

Did free entry since 2019 help boost the visitation rate? Any serious implications for the museum’s revenue? We’ve been through quite a difficult period with covid, where the numbers for all the museums in Luxembourg dropped a lot, also because there weren’t school visits. I’m not telling a big secret if I say that our numbers went down to about a third of visitors [as a result]. One of the measures was to introduce free entry for the permanent exhibition since 2019. Also, thanks to the culture minister [Sam Tanson], the last temporary exhibition was free to the public to facilitate access to the museum during covid. I think we lose more if we have high entrance fees that stop people from coming because our common goal is to show people what we have and not to deter them. But we must also pay attention to the collective of museums because if one is free and the others aren’t, it’s not ideal. To come back to our figures, even during covid, we saw four times as many visitors for the Légionnaires exhibition because of the theme but also largely due to the fact that it was free. Do virtual tours subtract from the museum experience? It is an additional means... It doesn’t replace the actual visit, but it can help prepare for the visit. What other surprises does M3E envisage to commemorate the 10th anniversary? We are working on a nice programme for the exhibition with musical performances. The main surprise will be the new things we will be exhibiting, a sort of re-enactment [for guests]. There will be conferences and certainly other surprises. François Reinert led the planning team prior to the opening of M3E

Interview ABIGAIL OKORODUS Photo GUY WOLFF

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Dashboard

JUNE 2022

Countdown to the local elections MY TAKE

It’s all about the communes Opportunities for foreigners in Luxembourg to make their voices heard in politics are limited. The topic of granting non-nationals the right to vote in parliamentary elections has been shelved since the idea was shot down by voters in 2015. It is unlikely to be revisited anytime soon. But only around one in five foreigners participate in local elections, even though communes, in many ways, are the beating heart of the country. Town halls have an important say in the development of infrastructure, such as roads but also housing. Local administrations can make or break business projects. They manage primary schools and essential services such as waste disposal. The intricacies of party politics can be overwhelming, especially when language barriers remain a problem, as they do in many areas of public life in the country. But with one year to go until the 2023 local elections, it’s time to get clued up about what your commune can do for you.

Gap to fill Luxembourg’s five biggest communes count between 40% to 70% foreigners. But only 11% to 19% of non-nationals participated in the last local elections in these communes, a rate that is below the national average, not taking into account non-eligible residents.

Words CORDULA SCHNUER

CANDIDATES

2017

Few foreigners run for election

8,977

Out of 3,575 candidates who ran for election in 2017, 270 were non-nationals. The largest share were Portuguese, with 86 people running for office. Germans (34), Italians (34), French (31) and Belgians (24) were also well represented. The success rate was 5.5% for non-nationals compared to 33% of Luxembourg candidates being voted into office.

9,261

2022 9,961 10,447

2011

2017

940

1,124

6,930

7,433

PÉTANGE

2017 14,204

2022 15,259

2011

270

11,198

13,382

1,580 8,070

2017 2,134 9,013

2017 19,665

2022 20,504

DIFFERDANGE

2011 14,713

3,575

Luxembourg’s biggest communes Non-nationals Luxembourgers Source

Statec

Voter participation in Luxembourg’s biggest communes Candidates in total who ran for election Non-national candidates

Non-nationals Luxembourgers Source

Elections.public.lu

15,673

2017

2,389

2,224

11,445

11,796

ESCH-SUR-ALZETTE

2022 90,698

JUNE JUNE2022 2022

One year ahead of the next local elections in Luxembourg, Delano looks at foreigner participation in past years and the biggest communes where non-nationals can make a difference by casting their ballot.

2017 80,784

22.8%

33,519

37,706

2011 5,315 27,223

2017 6,677 27,722

LUXEMBOURG CITY

Foreigners voting in local elections Less than a quarter of non-nationals registered to vote in the last local elections in 2017. This was up from a rate of 17% in 2011. EU and non-EU foreigners must live in Luxembourg for five years before they can vote in local elections. The government has proposed scrapping this rule, with the bill pending a vote in parliament. Luxembourg nationals are automatically registered to vote and voting is compulsory for them. Voter turnout by nationality Source

Cefis

Dutch German Belgian Italian Montenegrin ... UK US 0

2017

2022

8,335

8,497

12,145

13,086

Just 15 out of 1,119 elected officials in the last municipal elections were foreigners. While foreigners make up 47% of the country’s population, they account for only 1.3% of local politicians. 2011

2017

1,164

1,266

9,530

9,927

DUDELANGE

Source

Cefis

561

The rate of non-nationals aged 18 to 24 registered to vote in local elections at 5% was significantly lower than the overall rate of 22.8%. Only 561 young foreigners signed up. Source

Cefis

Mayor Lydie Polfer 16 says people shouldn’t be afraid to criticise the city administration

“Exchanges with citizens show that society still functions” In her second spell as Luxembourg City mayor, just as in her first from 1981 to 1999, Lydie Polfer has always been accessible to the people who live and work in the capital. But with one year until the local elections in 2023, Polfer and her council face some major challenges, including mobility and security. Interview DUNCAN ROBERTS

Photos GUY WOLFF

We work every day for the people, so it path along the avenue de la Liberté, from You and the college of aldermen are is important to have that direct contact. the Pont Adolphe down to the station, we in the midst of the Schäfferot on Tour public meetings. How important is have added one on avenue Marie-Thérèse. You have also held citizen meetings it to have this direct contact with And the developments will continue. on more specific subjects, including residents and citizens? In the last 10 years, cycling in the city It is especially important after two years the mobility plan. What needs to be has become something of a new interest. of the pandemic when we couldn’t hold improved in terms of sustainable We are working to maintain that. Creating safe routes for cyclists is something such big meetings. Quite honestly, I have mobility in the city and managing missed them. This direct contact with the mix of expectations that residents that is close to our heart--my own grandcitizens allows you to really get a clearer and visitors to the city have? children cycle. picture of what concerns people have The citizens’ participation meetings have One major project that is being worked and where they have problems. been a great success. They allow people on is a cycle path along the entirety of It’s not even that they are necessarily to tell us what they find good or what the boulevard Prince Henri, which means big problems; sometimes they are smaller problems they might have, and we try to cyclists coming from Kirchberg [can problems, but people are really troubled take their concerns into account. Of course, connect to that] using the cycle path we by them. now and again, we receive contradictory created behind the Fondation Pescatore. I mean, there are some questions that opinions. Some will want more cars, oth- That means we will avoid conflicts. Because we can’t answer directly. One lady asked ers will want fewer. Some want more car we know that cyclists in conflict with cars why the pavement on her street was sur- parking spaces, others want fewer. But are weaker. But there are also conflicts faced with asphalt as opposed to paving that’s our job, to take decisions in good between cyclists and pedestrians, as we have had sometimes in the park, and in stones. I told her I couldn’t give her the conscience to find the best solutions. reason, but that I would make enquiries those cases the pedestrians come off worse. and get back to her. The next day I found How do you answer the very vocal But you don’t get something for noththe answer and I called the lady in ques- critics who say not enough is being ing. To create the cycle path on the bouledone for cycling infrastructure, tion to give her an explanation. vard Prince Henri, we are going to have But that really is Luxembourg. We for example? to cut down a few trees. We have assessed must take advantage of the proximity we It is our mission to make the city acces- the possibilities and are trying to keep it have with the people and that they have sible for all participants. That includes to the minimum possible because trees with us. People shouldn’t be afraid to say pedestrians, cyclists, drivers of private are real added-value to the city. something or to criticise us--though, of vehicles and those who use public transWhat we have done in avenue Pasteur course, it depends on the manner in which port. And that is a real challenge. I think also shows that we are trying to connect especially in the last five years we have the major residential neighbourhoods-they do it. Exchanges with citizens show that done a lot--we have cycle paths parallel and Limpertsberg is one such case--with society still functions. And that feels good. to the tram tracks, we have a new cycle the centre.

JUNE 2022

Conversation Lydie Polfer

JUNE 2022

SELECTED CV The tram will soon be extended as far as Bonnevoie. Has it improved life and made the city more attractive, in your view? The tram has been a great success. What’s more, we have a very nice tram--the nicest I know--and we did select [the design] very carefully. It has been very well accepted, but that means that certain habits that people had, especially those coming from outside the city, have had to change. Well, we’ve had criticism from RGTR [regional] buses, but I would say that the tram has led to a sort of calming of traffic in the city centre. But the tram alone doesn’t really solve everything. The residents of the big residential neighbourhoods, whether that’s Bonnevoie, Gasperich, Cessange, Belair, Hollerich, Limpertsberg, still need city buses. And well-functioning bus stations on the periphery of the city are an absolute necessity. Otherwise we won’t have the traffic relief that we need. It is already working to some extent. If you remember what it was like before the tram, the city was full, full, full of [regional] buses. If you look at the figures now for air quality compared to earlier, then it is much better. But the fact is that people still need to get into the city. This is our biggest challenge. The city accounts for 2% of the total land surface of the country. But half of the city is greenery--parks, forest, fields… So that leaves 1%, on which 20% of the population of Luxembourg live. But we also have 40% of the jobs

" One of our objectives is to make sure the neighbourhoods have all the facilities that people need for everyday life"

Date of birth 22 November 1952

support from the national government and the police force to tackle crime and safety issues in that neighbourhood? 1976: Bachelor of law, University of Grenoble It is obvious, and nobody will contradict this, that a police presence is what is 1997: Postgraduate degree in European integration, missing. The minister [Henri Kox] knows Centre universitaire this as well. The minister and the govde recherches internationales ernment want to make a big effort to et européennes, Grenoble recruit new people, and some of them Career are already in training, but it will still 1979: First becomes an MP for the Democratic Party take some time before they are ready to enter service. And the lack of their pres1982: Becomes mayor of the city of Luxembourg ence is very visible. We have problems, mainly connected 1985: First elected as an MEP to drugs, in the Gare neighbourhood, but 1994: Elected chair that problem has also moved partly to of the Democratic Party the upper city, to Hamilius and to the 1999: At the parliamentary election, she steers the DP to become park near the pirate ship playground. We the CSV’s coalition partner. have to take measures somehow to get Under prime minister Jean-Claude this under control. Juncker, she becomes deputy PM and foreign minister The police know this too. I mean, I am not blaming the police at all. But, as 2005: Elected to Luxembourg City council as party colleague. I said, there is a lack of personnel. Paul Helminger retains the mayorship We have undertaken so much with 2008: Appointed alderwoman regards to social work in the area. We responsible for culture have around 20 Streetworkers [a service 2013: After Xavier Bettel quits the that offers assistance to homeless peomayorship to become prime minister, ple]; we have night shelters so that peoPolfer takes up the reigns of the city ple can sleep. But there are also a number for a second spell of people who don’t want these services. 2017: Polfer leads the DP to victory What is also missing are legislative in the local election, but changes coalition partner from the Greens measures to enable certain situations to to the CSV be tackled better. For instance, we know that when people sleep in doorways of residences, they make a mess; people sometimes find it difficult to gain access to their home. We have long been promised legislation to deal with this, but they in the country that are in the city. We still haven’t arrived. have over 12,000 people coming into We also launched the À vos côtés [by the city every day, including from abroad. your side] initiative in the Gare, in BonIf we only had to take care of the 128,000 nevoie, and it will soon be available in residents of the city… our own city bus the upper city. These are people who have been trained by Inter-Actions [an service would be sufficient. Pedestrians are also very important. association which aims to improve the We are a small city, and so much is acces- lives of the socially disadvantaged] and sible on foot, for most people--of course, who seek contact with local business you can’t compare young, sporty people people and residents, but also try to talk with the elderly. But one of our objec- with other people to convince them not tives is to make sure the neighbourhoods to behave badly. This is uncivil behaviour that makes have all the facilities that people need life much less agreeable. And they keep for everyday life. coming up with new kinds of criminal behaviour. Last year there was a gang Another major issue for the City has that was tearing necklaces off people. been security, especially in the Gare district where you have also been The police even managed to catch a nummeeting with residents and business ber of them. But I can’t tell you whether owners. Are you getting enough they are now sitting in Schrassig [the state Education 1972: Secondary school leaving diploma, Lycée Robert Schuman

Conversation

JUNE 2022

Lydie Polfer interrupted her interview with Delano to perform a wedding ceremony for a young couple

penitentiary]--that is me being very dipWe need the legal framework to be We do a lot. Luxembourgish courses, all lomatic. Then we also have systematic able to move people on. That is also being our various clubs. I mean, the clubs no pickpockets, which the police are aware worked on, but the state council still longer talk about how many foreigners of and have acted upon. But the whole needs to give its opinion on the bill. We they have as members. They are not forsituation is frustrating for us as a com- need this so that the police have more eigners, they are our neighbours, our colmune. Because we are doing what we can, means to intervene. It will allow them to leagues, our friends. Of course, the way that Luxembourgbut that is limited to the social pro- oblige someone to move on, which the gramme--providing housing, cleaning police say they are currently unable to ers go about things in terms of languages and paying for a lot of staff. We should do. Of course, this will have to be done helps a lot. We switch from one second be able to act with more consequence. with our social services, and we will gladly to the next to French, or I’ve just conBut as mayor I am not in charge of the put them at their disposal. ducted a wedding in German, then we police at all since the major reform of But the current situation is unsatis- speak German. The same in English, 1998 that merged the police and gendar- factory. People who work in restaurants although maybe not all are completely merie into the Police Grand-Ducale. Before are afraid to leave at 10 o’clock at night. comfortable in English… but in general it helps, and it is noticeable how many that we could, at an additional cost, deploy non-Luxembourgers feel at home here. The capital has a very cosmopolitan the police in certain situations. We have our website in English; we pubdemographic, with 70% of residents lish our magazine, City, in English [and being non-Luxembourgers… Will the council consider a new contract with a private security firm And of those 70%, the vast, vast major- French]. We really are a multicultural and if the security situation deteriorates ity are from the community, European open society. again? If so, what guarantees can be We really do a lot. However, you can Union citizens. If we look at the figures put in place to ensure the security from 31 December 2021, we had 128,514 do as much as you want, but if people firm’s employees do not overstep their inhabitants. Of those, 37,799 were don’t know about it, then it’s as if you boundaries? Luxembourgers, 72,250 were from other didn’t actually do anything. A projet de loi [draft bill] is currently EU countries, and 5,188 were citizens When we had the mini-Schueberfouer being worked on to better regulate pri- of other European countries. [funfairs] in the neighbourhoods during the pandemic, they were well receivedvate security firms and surveillance. This -it was a great way for people to meet should clarify a lot of things so that we The City has made a real effort each other. In a city like ours, with 70% don’t need to have that discussion again. to encourage integration…

Lydie Polfer

“ As mayor, I am not in charge of the police…”

non-Luxembourgers, it is very impor The programme for this legislature tant to have places where people can get was obviously affected significantly to know each other in a normal, natural by the covid pandemic, but what big way. We will try to maintain that sort of projects does the Ville de Luxembourg still have to complete before the thing somehow. elections in 2023? Oh, my! There are so many. We are fin One year from the next local elections, how will the Ville de Luxembourg ishing the restoration of place Guillaume encourage non-Luxembourg residents II, and we have been working like earth to register to vote? Do you have figures worms. Of course, nearly all the big build of how many non-Luxembourgers voted ing projects have been delayed because in the 2017 local elections in the city? companies had to shut down [during the As we know there is a new law under pandemic] and then they have had prob The pandemic was a very difficult two way that will remove the [five-year] res lems with delivery of materials. Then, in Cents, we have the new com years for all those people. The city the idency requirement to vote in the local elections. We will have to see if that plex for the National Sports Institute, which atres [Grand Théâtre and Théâtre des brings more voters. is almost complete, apart from some prob Capucins] belong entirely to the City, and In the last local elections in 2017, we lems with the swimming pool. We have a it was heavy for them. We had our own had 6,677 non-Luxembourg voters who series of new crèches that are being built. productions, and there were productions We have big urban housing projects that we buy in for Luxembourg. But they registered. That compares to 27,722 Luxem bourgers. So nearly 20% of the voters along the route d’Arlon, the porte de are up and running again. Hollerich, Villeroy & Boch. And we will were non-Luxembourgers. The Luxembourg City Film Festival, That may not reflect the 70%, but it was get a new hygiene and recycling service, which we support 50-50 with the state, certainly an improvement on previous which is connected with the route d’Ar also suffered. We are all very pleased that the mar elections, when I think it was around 10%. lon project and will be installed behind Many of those who attended the cit the Merl cemetery. athon is able to take place again, that we izens’ meetings spoke English, German, A new bus garage will be built behind are returning to the normality of being French… for us that is quite normal. the stadium in Kockelscheuer because together again. of the porte de Hollerich development. The pandemic taught us a lot of things, And we are planning a new athletics sta and it also showed us what really matters, dium because the football and rugby sta which is social contacts, being together dium can’t host athletics. That will be with people. I mean, it was terrible for people in retirement homes and hospi built in Hamm. The Beggen water purification plant tals, people who died without having 2023 LOCAL ELECTIONS is also being expanded, though that won’t their family at their side. Those were ter The next elections for the council be ready until 2027 or 2028. The current rible times. in Luxembourg City take place in People in the different neighbour plant was built to serve 200,000 people June 2023. Apart from a five-year period from 1964 to 1969 when the but will in future be able to handle the hoods [along the route] often celebrate socialist Paul Wilwertz was mayor, the marathon at home with friends. But needs of 400,000 inhabitants. the Democratic Party has provided Also we have to complete the natural the marathon also has a certain impact the leader of the city council since the first post-war election in 1946. isation of the Pétrusse river. It will be on the economy. I mean, we have 12,000 ready in 2023, ahead of the Luga [Luxem registered runners this year, which is In 1982, at the age of 29, Lydie Polfer was the youngest mayor to hold bourg Urban Garden] show. We also slightly down on the 16,000 we’ve had the post when she succeeded her recently took a look at the new park in in previous years, even though the mar father Camille, whose health was Gasperich, which will be officially inau athon started out as a small event. But declining. She served for 18 years until she led the DP to national gurated next year. they reckon visiting runners stay on aver government in 1999. Upon her We also have many projects together age two nights, and we calculate that on return to local politics in 2004, with the social housing scheme. she sought the mayorship again, average each runner has 1.6 people in but incumbent Paul Helminger, Thankfully, we also have the financial their entourage. So you can imagine how who had succeeded her in 1999, means available. many hotel nights that means, and they gained the most votes. also all have to eat. Now there is speculation that Polfer, The ING Night Marathon is on the So I hope the marathon, which takes who will be 70 at the next election, may step down to give fellow DP horizon, a return after two years of a lot of hard work to organise, turns out politician Corinne Cahen a shot at pandemic cancellation. Does the to be a festive occasion, for those who becoming mayor. Cahen has already marathon and other cultural events are running and for those who come to said she will not seek a third term as minister for family should Xavier and institutions, like Les Théâtres the city to watch. Bettel’s government retain power de la Ville de Luxembourg, help put in the October 2023 national Luxembourg City on the map and elections. Neither Polfer nor Cahen will comment on the speculation. attract an international population?

JUNE 2022

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Serge Weyland hopes that digital ledger technologies will help ‘democratise’ alternative investment funds

Conversation Serge Weyland

“What are we trying to achieve here?” After years of hype, there are now anecdotal signs that distributed ledger technologies are actually starting to be used in Luxembourg’s fund sector. The expansion of private market funds is the driving force, says Serge Weyland, CEO of Edmond de Rothschild Asset Management Luxembourg. Interview AARON GRUNWALD

Widescale adaption of digital ledger technologies in the financial sector has been ‘just around the corner’ for the past decade. The corner appears to be a bit closer these days. Delano put that premise to Serge Weyland, CEO of Edmond de Rothschild Asset Management Luxembourg. He concurred: “People started to get tired of not seeing any tangible results. And I would agree that things are definitely starting to move.” Weyland said part of the expectation mismatch was self-inflicted. “As an industry, we have had a tendency to focus on the technologies and really look at what those technologies will be able to do, instead of looking at it from a higher level perspective, saying, ‘okay, what are we trying to achieve here?’” Opening up access In his view, what the funds sector is trying to accomplish with DLT is firstly “about democratisation of private assets,” such as private equity and real estate funds, that typically are reserved for institutional and professional investors, such as pension funds and insurance companies. Private banks, including Edmond de Rothschild, have “opened these illiquid strategies to our private client base for a number of years now, and this is picking up.” Other financial outfits have launched feeder funds which, for the moment, are available only to wealthier and savvier punters.

Photo MATIC ZORMAN

SERGE WEYLAND CEO of Edmond de Rothschild Asset Management Luxembourg since September 2017. Previously held management positions with Banque Internationale à Luxembourg, Caceis, Sal Oppenheim and Accenture. Weyland attended the Solvay Brussels School of Economics and Management. He co-chairs the Association of the Luxembourg Fund Industry’s digital/fintech forum.

EDMOND DE ROTHSCHILD ASSET MANAGEMENT Fund management company serving the Edmond de Rothschild group’s own funds and external financial firms. It has €94bn in assets under management and assets under administration, with 150 staff in Luxembourg and 660 employees globally. Edmond de Rothschild is a Franco-Swiss private banking and asset management group that has 178bn Swiss francs in assets under management and 2,500 employees worldwide, including a total of 512 staff in the grand duchy.

This has led to more complex fund administration and fund operation challenges. “It means that you have to deal with a broader investor base and more complexity in terms of onboarding, in terms of managing that investor base, managing all the changes that go through that investor base, the credit risk, etc.

And that’s where I think the technology comes in--to solve the problem that I would call access.” Improving liquidity Secondly, “when you talk about private assets, of course, what everyone wants, and especially if it is more broadly distributed, is liquidity. How can you create some sort of liquidity?” In the past, asset managers have found bespoke ways to help investors in urgent need of liquidity sell their stakes. “But I think we are probably at the beginning of something in that space, where some of the larger players--we’ve seen the likes of Moonfare or Icapital--have gone through that democratisation process, and now they are at the stage where they can say, ‘well, we have this broad investor base, they’re all invested in a broad range of products, and why don’t we build a secondary market for this? Because if my client A wants to sell and perhaps I have client C who would like to have more exposure, then why don’t we match those two needs?’” While DLT is not the only way to increase private market liquidity, “it is a mean to achieve that.” “Then there are more and more product manufacturers also toying with the idea of disintermediation.” These fund firms are thinking to themselves, “‘are the banks really doing their job? If they’re sitting on €10trn of cash, why is that? And why haven’t they been able to move some of that cash into financial p roducts?

JUNE 2022

Conversation Serge Weyland

JUNE 2022

MINI GLOSSARY And why shouldn’t I do it myself?’ That’s the whole direct to consumer distribution” premise. “If you combine those elements, that is a strong case for finding a technology that makes it efficient to onboard clients. I think distributed ledger technology does not solve your AML/KYC issues. That’s a completely different story, which I think the industry is also struggling with. But, you know, gradually you start seeing solutions of identification through video, e-signatures, etc., but that is a key component to all the rest.” Switch from cash Individual investors would be well served by putting some of their savings into the private markets, “given the inflationary environment we’re in,” Weyland reckoned. “The average European still has a lot of cash sitting in their bank account. As we face that inflation, we need to do something with that cash, otherwise, we’ll just get poorer and poorer as time passes by. If we are able to provide solutions, to create well-functioning secondary markets for private assets, it will create liquidity, and that will make access easier and will protect investors, ultimately.” He noted that many products--such as fonds en euros, a popular savings account-like insurance investment--are heavily exposed to fixed income, “which is not necessarily ideal from a returns perspective.” Supposing “those holdings could be gradually converted into private assets, if these private assets are liquid enough, that’s a big asset pool you can tap into.”

“Distributed ledger technology does not solve your AML/KYC issues. That’s a completely different story, which I think the industry is also struggling with”

AML/KYC Anti-money laundering/know your customer regulations, which require financial firms to verify their clients’ identities and the source of their cash. Primary and secondary markets The initial sale of a financial product takes place in the primary market, such as a company offering its IPO. That financial product then changes hands in the secondary market, such as company shares traded on a stock market.

marketplace, ultimately, because it’s the interoperability of the different blockchains you have. If you want to create a secondary market, ideally, you will have a market player which will provide the infrastructure onto which other players would then plug in.”

“If you want to build a secondary market, if you want to transfer shares or refund easily, Cost concerns you will have to In the past, cost savings have been touted as a key benefit of fund firms using automate that DLT. But today, Weyland said, the technology would not necessarily be expected process” Transfer agent Records fund share purchases and redemptions.

to yield cost savings, so much as help keep costs from exploding as more investors pile into private markets. That New market players is also why private equity and real estate And just who should start up those priare more focused on DLT than other mary and secondary markets? Right now, asset classes. private players are launching their own Private debt and infrastructure fund initiatives, such as “a large, French priinvestors are “very institutional” so “DLT vate capital manager” that has not yet has less value add, because you’re not publicly announced its plans and Berlooking at the same number of investors, lin-based Moonfare, which “uses Luxin the efficiencies of scale, and the cost embourg-based vehicles, so Luxembourg element of servicing these is less of an is part of the equation. Now, I think the issue.” In addition, infrastructure funds other type of players that might enter that typically have much longer timescales, space are the big retail digital platforms. which are probably better suited for insti- I always wondered why we haven’t seen tutional investors like pension funds than more of the Apples and Amazons of this for private individuals. world enter the financial services market.” Weyland said he theoretically would Creating a marketplace be willing to sell funds through a comWeyland said he hopes that market util- pany like Amazon or Facebook. “Why ities will emerge to create streamlined not? I mean, if these firms have enough and interoperable primary and second- capital to structure themselves properly, ary markets. Having an effective platform, to have the relevant licenses, to be able “for the primary market, of course, is very to distribute and to do that abiding by important. But then, if you want to build the rules, why not?” Currently, “we are a secondary market, if you want to trans- a partner with a number of online banks, fer shares or refund easily, you will have so why not look at these new platforms?” That said, Edmond de Rothschild Asset to automate that process as well.” “I’ve always been a bit of a sceptical Management is presently pursuing a “traperson when it comes to the use of DLT ditional wholesale” and institutional sales alone, just for the sake of making your strategy, he said. illiquid assets transferable, because that was already in existence before.” Securi- Not for retail now tisation of real estate and hedge funds Would it ever make sense for public marare hardly new, he observed. However, ket funds, like Ucits, to use DLT? Weyland DLT can help with “the creation of a said that was a distant prospect. For Ucits,

Conversation Serge Weyland

JUNE 2022

WHAT IS DLT? DLT would have to substantially improve “efficiency or reduce costs. Do you want to cut the middleman, cut out the transfer agents, in a way? Can you build an infrastructure that will completely cut out the transfer agent? Why not? Maybe that’s where we’re heading. But I don’t think it’s for tomorrow. I think it will take time because of the connectivity you need.” It “took 15 years or so” for the transfer agent transactions to use today’s XML standard, he observed with a hearty laugh.

“I think it should be based in Europe. That’s my opinion, also given the geopolitical situation” AML focus His firm is not working on a specific DLT solution, per se. “We are looking at what the various service providers can offer,” Weyland said. “We don’t have a DLT project, per se, at the moment, with a ‘live date’. I think where probably our need is the greatest is indeed in finding further efficiencies in the way we distribute our private asset funds. Because we have an existing book of investors which is already quite broad, we’re looking at how to become more efficient there. And we’re also looking at, through wholesale distribution, increasing our book of business in the liquid space, through wholesale distribution, and that will probably also mean having to deal with more and more direct private investors. “We’re now focusing really on the AML side of things, where we’ve done a lot of work with our existing platforms. We are looking at various options to how to see how we can further increase efficiencies, because that’s the biggest cost element. I think, for the rest, we were able to automate quite a bit. But if we could find a solution covering full AML spectrum plus the transfer agency infrastructure, then we would certainly look into it. But it’s not there yet.

Digital ledger technology, such as blockchains, allows data to be permanently saved to a specific file, which can be seen, but not modified, by all future users. Here are the properties of digital ledger technologies, according to KPMG:

Distributed All network participants have a full copy of the ledger for full transparency.

Anonymous The identity of participants is either pseudonymous or anonymous.

Timestamped Transaction timestamp is recorded as a block on the blockchain.

Unanimous All network participants agree to the validity of each of the records.

Immutable Any validated records are irreversible and cannot be changed.

Secure All records are individually encrypted.

Programmable A blockchain is programmable, to execute what is called a smart contract. Source

Valeria Merkel of KPMG on LPEA.lu

“I mean, even on the AML/KYC front, the outsourced solutions are typically focused on one element. Either they’re focused on pure retail or they’re very institutional focused, but you’ll rarely find a provider covering a very broad spectrum of investors, which we have traditionally had.” The real push To really shift the speed of travel, several heavyweights will need to get behind DLT, and then others will follow, Weyland said. The “real push” will come from bigtime distributors or “some of the manufacturers that have a distribution arm or strong distribution capabilities.” However, “there will be the problem of interoperability of different blockchains.” If several competing standards emerge and fracture the market, “you could end up in the same spaghetti model that we currently have with the transfer agents and anyone having to plug into the infrastructure.” Whoever emerges as the standards- setter, “I think it should be based in Europe. That’s my opinion, also given the geopolitical situation,” such as tensions between the US and China. “Hopefully Luxembourg will be able to position itself there; it would be interesting to be part of that.... if Luxembourg as a country wants to move forward, I think we need to shape those new projects together with some of the players that are most likely to actually take the lead in this. So it’s important, I think, to grasp the opportunity now.”

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JUNE 2022

06_legende harum eos restrum quideli gentorrum quis cor alit volendam, qui beaturs restrum quideli gentorrum quis cor alit volendam, qui beatur

The headquarters of the Minett UNESCO Biosphere.

Biodiversity

Minett UNESCO Biosphere: a world of wow In the south of Luxembourg, next to France and Belgium, lies the Minett, an area full of stunning biodiversity and awesome landscapes, a stark contrast to the industrial image to which it has long been associated. On a mission to get the word out is the Minett UNESCO Biosphere. Formed in 2020, the entity promotes the

conservation of biodiversity and sustainable development through citizen participation, education, and research. The spring and early summer is one of the best times to participate in the biosphere’s free workshops, part of its scientific programme. Led by experts, these workshops give participants

a hands-on, intimate experience with the flora and fauna in the area – and all for free. A richness of landscapes, plants, and animals Named for its red soil, rich in iron that once fed an industrial boom, today the name Minett carries other connotations.

Photos

Flora and fauna have reclaimed former industrial lands, and one organisation is making sure the public can get up close and personal.

Eva Krins (Maison Moderne), Marc Weis

Sponsored content by MINETT UNESCO BIOSPHERE

Polyommatus icarus - Common Azure (Polyommatus icarus) on a thistle.

The mines have long since closed, and the steel mills have all but closed up. The Minett now brings to mind the stretches of red rocks and cuestas that look positively Martian. The 200 square kilometres also contain wetlands, dry grasslands, forests, valleys, what appears to be mini canyons. Inside these varied landscapes are ecosystems teeming with plant and animal life. If you love wildflowers, you should sign up for one of the

“ May and June are the best time to see rare plants and flowers, including some rare orchids.” Gaëlle Tavernier Manager of Pro-Sud

Minett UNESCO Biosphere’s workshops in May or June when orchids and other flowers from the region fully present themselves. As for animals, one might come across foxes, boars, lizards, and even amphibians that have taken over the abandoned open cast mines that are now filled with water. If you are attentive and lucky, you might spot an endangered woodlark or hear one sing its melodious lu-lu-lu. Fluttering around the flowers and fields of the Minett is an array of butterflies, a delight for the eyes. For those looking for alien-like creatures to match the otherworldly Martian terrain, keep your eyes open for congregations of praying mantises. And below the ground, in corridors of old mines, bats have now taken up residence, turning the local land that in some parts resembles Emmental cheese into their home. Free workshops to awaken the scientist and nature lover in you Gaëlle Tavernier, manager of Pro-Sud which oversees the Minett UNESCO Biosphere, and her team organise a variety of free

workshops and nature labs open to the public. These are interactive and offer participants a unique, hands-on experience, the goal of which is to increase citizen participation, transmit knowledge, and help people to reconnect with nature. Workshops are held all year long. Whereas May and June are great months to enjoy plants and flowers, workshops held during the autumn give participants a chance to learn about mushrooms. The workshops and nature labs are led by some of the top environmental scientists in the country, those who have both passion for the Minett and knowledge of nature in the area. During a workshop, you join their ranks and learn in much the same manner as real scientists do. For example, you might find yourself helping to carry out a vegetation survey. Nature is not limited to areas far from where people live, Ms Tavernier says. In fact, we can find nature even in populated zones, which is why some workshops are organised in or close to urban areas, such as the ones held in Bascharage on 21 May. In typical Luxembourgish fashion, workshop leaders tend to be linguistically flexible and, in general, are happy to communicate in Luxembourgish, French, German, or English. Workshops are limited to 12 or 15 people so that participants will be able to really benefit from the leaders’ knowledge and experience as much as possible, Ms Tavernier says.

JUNE 2022

BRAND VOICE

Luxembourg

Minett UNESCO Biosphere A learning place for sustainable development The Minett comprises a relatively small portion of the Grand Duchy of Luxembourg, around 7.7 percent of the total surface area. However, it is home to 11 municipalities, one-third of the population of the country, and a diverse mix of nationalities. The Minett began to grow in regional importance in the 19th century with the discovery of pig iron as well as new methods to use it in steel. For decades, the area was an industrial powerhouse, churning out steel and other products. Since the decline of mining and industry in the area that really took effect in the 1990s, it has struggled against the view that it is rough and worn down. At the same time, it has been transforming itself. Today the Minett is home to cutting-edge research institutions including the University of Luxembourg, a growing population, and beautiful landscapes and biodiversity that the Minett UNESCO Biosphere showcases and helps to protect. One-third of the Minett is either natural spots or protected areas, which makes it a very satisfying day trip for anyone in the region.

r an ister fo To reg aising -r s s e n aware op, visit h works

. phere t-bios t e in /m n/ https:/ nda-e n/age e / m o c

Business report

Shifting to a positive impact 200

150

100

LUXEMBOURG, ONE OF THE EU’S ECO-INNOVATION LEADERS The Eco-Innovation Index gives an overview on economic, social and environmental performances by monitoring indicators that fall under five categories: eco-innovation inputs, activities, outputs, resource efficiency and socio-economic outcomes. This includes, among others, investments in green R&D or the number of activist groups registered. Source

2012

European Commission

2013

EU average score Luxembourg score Lux. position on scoreboard

2014

2015

2016

Sustainability

Sustainability is a vast field, but companies must keep step with new legislation linked to climate change, also to remain in tune with customers’ changing awareness. This dossier looks at the practical changes companies are making and how they accompany their stakeholders through the transition.

1 “Embedding sustainability is a journey” How non-profit IMS Luxembourg accompanies businesses in transition p. 32

2 “Something new is in the making” Valorlux discusses upcoming changes in the waste management sector p. 34

3 “It’s a collective

endeavour”

Recycling phones through Orange Luxembourg’s Reprise programme p. 36

2017

2018

2019

2020

2021

JUNE 2022

Sustainability

Business report

1 Transitioning

Inspiring More Sustainability Luxembourg (IMS) is a non-profit organisation that works with industry experts and associations to help them improve their future based on the principle of “people, planet, prosperity”. IMS organises workshops, events and testimonies for its 180 members and 70 associated members. The aim is that “at the end of the programme, our members are better equipped to get the knowledge, to go from words into action,” says Öberg. IMS focuses its effort on the grand duchy. The deputy director explains: “The idea is that it’s really for Luxembourg-based organisations to get to know the best practices on how it can be done in Luxembourg. This way, the local aspect can be understood too.” In its flagship Diversity Charter Lëtzebuerg, which has 239 signatories, IMS promotes social equity and cohesion through its networks. The charter brings together many actors from the private and public sector. The longevity of a business But can a business continue to grow and be sustainable? “The notion of long term, which is key in the sustainability agenda, is also actually inherent to businesses,” Öberg says. “It implies that you take into account all the stakeholders and the environment you are in--not just the

Sophie Öberg

natural environment but also the communities and society you are [involved with].” Profit, however, should not be seen as an end goal anymore, but a “means to attain prosperity while respecting people and the planet.” The first step to a healthier environment for the business, stakeholders and employees to thrive in is to map out the company’s materiality. Once a thorough analysis of one’s impact has been established, “you can improve it so that it

MORE PROACTIVE BUSINESSES IMS Luxembourg, celebrating its 15th anniversary in 2022, strives to implement a new approach among businesses. Source

IMS Luxembourg

239

Signatories of the Diversity Charter Lëtzebuerg, for which IMS is the national coordinator & project leader

180+

Number of members counted in 2022, compared to 168 at the start of 2021

60+

Number of associated members

goes from a negative impact to a positive impact,” explains Öberg. Some--like production-based companies--will have to undertake more extensive changes in their value chain and on the field, while others, like service companies, will have to look at applying eco-conscious changes in the office. Greenwashing versus real change Even well-intentioned companies can fall into the trap of greenwashing. “Your stakeholders will identify the gap between your communications and your actions,” Öberg warns. “Greenwashing is when you talk more than you walk,” but the opposite might be better. Companies should show their awareness of the challenges ahead and be transparent about their plans, strategy and progress towards a sustainable objective. “Embedding sustainability is a journey” that isn’t over after one day, says the IMS deputy director. So, the second step, after mapping out the materiality of one’s business, is to get employees--on all levels--on board. Change management, communication and transparency are key to success here. Sharing knowledge and best practices is what will get the ball rolling. When searching for companies that can share their experience to its members on transitioning to a more sustainable model, IMS often comes across member organisations that previously participated in its workshops. “It’s a good sign,” Öberg says. “Change is absolutely happening.” Fabian Björnstjerna

Overhauling one’s business model can seem overwhel ming, but switching to a pro fitable and sustainable model is doable. The key, explains IMS Luxembourg deputy director Sophie Öberg, is to walk the talk consistently.

Words TRACY HEINDRICHS

Photo

JUNE 2022

“Embedding sustainability is a journey”

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Sustainability

Business report

2 Recycling

The new legislation around waste management largely bans single-use plastic packaging and paves the way for a deposit system for drinks containers. From invoicing of packaging to sorting centres in supermarkets, the package will impact the daily life of many. Simultaneously, the EU targets a 70% recycling rate for all packaging by 2030. Restaurants and take-away places will also have to reconsider their strategy, as they’ll need to swap to reusable containers.

Claude Turping

coloured plastics, as well as mixed-material packaging, as they can’t be recycled. Many factors to consider Valorlux identified another “false good idea” businesses eager to improve their impact on the environment fall for: biodegradable packaging. “When packaging has to be in contact with humidity or a liquid, then it’s never fully biodegradable,” Turping explains. Such packaging for now still relies on plastic to keep its integrity, meaning that the wrapping isn’t recyclable. With all packaging having to be recyclable within the next few years, this may hinder the ability of businesses to do better, but “the industry in a few years will have adapted and will rely on different materials and different solutions. The recycling rate will improve naturally,” reassures Turping. “The impact of transportation is something you always have to keep in mind,” he adds. Light packaging--like plastic bottles--takes up a lot of volume but weighs little. “If the better package is heavier”, it can generate more CO2 emissions during transportation, so then “is it better than the lighter plastic packaging?” Turping asks. That is a question the industry will have to think about as it evolves alongside the new laws. “The problem with packaging is twofold: we have a mission to reduce CO2 and, of course, littering,” Turping explains, as plastics take much longer to disintegrate in natural environments.

Helping businesses in their transition Valorlux, as an expert in packaging waste and recycling, helps companies in their move towards greener designs. When talking about the new laws, Turping mentions the rapidity at which they will be implemented. The director says, “The discussions that we often have, especially with small companies, are that they don’t have this on their radar.” As the population of the country and the number of cross-border workers grow, so does the amount of waste generated. Consumers also have more specific interests in their impact, Turping notes. From businesses too, requests are more spe- The future of waste management cific: “What always comes into question How, then, does a company whose job is the colour of the packaging.” Valorlux is to recycle waste continue growing in recommends against relying on black or this climate?

“For Valorlux, I don’t worry a lot. Recycling is, from our perspective, a loss-making business,” says Turping. After all, the director explains, it’s five times more expensive to collect and sort materials and to finance the logistics than the material is worth. The recycling in itself is managed mostly by recycling plants in neighbouring countries. In addition, with EU directives deman ding more recyclable and reusable packaging, there is still a lot of work to do. “I believe there will be a lot of responsibility for Valorlux,” says Turping, who adds that as the industry adapts, reporting and communication on reusing packaging will have to be undertaken. And, though the practical application of the packaging law is yet to be defined, in the recycling business “something new is in the making.” Words TRACY HEINDRICHS

A GROWING DEMAND The quantity of commercial packaging reported to Valorlux has steadily increased. Figures from yearly reports in tonnes. Source

Valorlux

6 Mike Zenari

Luxembourg deputies in April adopted a draft law package on waste which overhauls not only the waste management industry but also businesses selling packaged goods. Valorlux director Claude Turping talks about the future of these companies and the recycling sector.

0 2017

2018

2019

2020

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JUNE 2022

“Something new is in the making”

10�6 LUXEMBOURG INTERNATIONAL CHAMPIONS! 10 entrepreneurs, financiers, inventors, artists, film producers, of Luxembourg origin and who became famous internationally, will share the story of their adventure and their vision for more Luxembourg initiatives to be successful internationally.

Programme • Welcome cocktail (18:30) • Show (19:00) • Networking walking cocktail (20:15)

20.09

Tuesday

Athénée

Registration and

Luxembourg

www.paperjam.lu/club

information:

Sustainability

Business report

3 Phone recycling

Corinne Lozé

Reprise isn’t a strategy to gain more customers with shiny vouchers though. “It’s the link that exists between Orange and our customers,” Lozé says. “I think that’s why the programme works… Orange all over the world has demonstrated how invested it is in the environmental team.” As such, it relies on its subscription prices to bring in more customers.

With Orange Reprise, people can bring Change is in the air up to 10 phones to one of the telecom- The programme’s popularity can also be munication company’s shops and exchange explained by the transformation of mindthem against a voucher. With €2 to €700 sets among customers, employees and at play, the vouchers have already attract- companies alike. The health crisis that ed over 6,000 unused models. The phones collected are recycled in France, Belgium and Luxembourg to GREEN ACTIONS WITHIN avoid transportation pollution and keep an eye on the circuit. When a phone can’t THE ORANGE GROUP be reconditioned and sold directly, it’s Orange takes in and refurbishes phones to help offset the environment impact taken apart to extract the various mateof the ICT sector. rials within. Compare and Recycle, a Source Orange Luxembourg company active in several of Orange’s branches, takes care of this process. “With 5G, our customers will change their phones to make them 5G compatible. But to make a phone, you need rare earth matePhones collected globally by the Orange rials, you need lots of rare and expensive group in 10 years components,” explains Lozé.

15m

Comparing the costs Of course, taking in these phones, recycling them and giving out vouchers to clients is a cost, but as Lozé says, “It is very important that it is factored into our business.” If the phone only needs a little bit of repair, its sale will cover the fees. But if it isn’t, “it remains our responsibility.” The CEO invests in circular economy in her private life and only sees benefits when this is applied to her workplace.

6,000+

kept the world indoors made people realise the urgency and impact of climate change. Clients are slower to buy a new phone, so the average client keeps their phone for three years instead of two now, according to Lozé. The consumption habits of clients morph into a greener model, but even so “it really depends on the individual. On the other hand, the company has the responsibility to accompany this change.” Businesses are also contributing to this paradigm shift. “Companies are more committed,” explains Lozé. “Fleet managers are also beginning to find it very attractive to recycle,” bringing dozens of their employees’ old used phones to the telecommunication company’s shops. Participating helps clients feel more satisfied and makes Orange workers feel so too, according to Lozé. “It’s not just a phone; it’s a collective commitment.” Orange employees are clients, after all. “The employees of Orange Luxembourg have been mobilising for a very long time,” she adds. Fixing the crisis won’t happen over a day, but “it is crucial to fix our footprint as soon as possible.” The company set its carbon neutrality goal to the year 2040. Listening to its employees’ environmental agenda is going to be key to prospering as a business while also being greener, as workers are the company’s driving force, and “you mustn’t forget that the company is nothing, if not for the workers.”

Phones collected globally in 2020

Romain Gamba

Many are hoarding old cell phones at home, so Orange Luxembourg set up Orange Reprise, a used phone collection programme. For CEO Corinne Lozé, it’s about balancing customer demand, employee objectives and environmental needs.

€700

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Words TRACY HEINDRICHS

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JUNE 2022

“It’s a collective endeavour”

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Head to head

The future of the monarchy Léon Gloden and Mars Di Bartolomeo weigh in on the future of the Luxembourg institution.

Mars Di Bartolomeo (LSAP) is the head of the Luxembourg parliament’s institutions committee

Is a monarchy a timely form of state? LÉON GLODEN That’s a question we’ve been asked a lot, and my answer is that, for Luxembourg, it’s a form of state that fits. In other countries, it’s maybe a different discussion, but here in Luxembourg--based on our history, our demography, our position in Europe--I think the monarchy is the right form of state. MARS DI BARTOLOMEO We’re a parliamentary democracy and we’re a constitutional monarchy. That’s very important. The monarchy must respect our constitution and our institutions. Whether or not it’s timely--it belongs to Luxembourg. If we were to redraw the map, newly inventing the country as if it didn’t exist before, then there probably wouldn’t be a monarchy. But this country has a long history, a long tradition. LG An institution--and we’re talking about the monarchy as an institution--must adapt to the times. You must accept that there’s a modernisation process. The institution opens a number of doors abroad, when we’re looking for new markets, new customers, to attract businesses. It has an aura, which is important for a small country. Another element is stability. We have a government

“ The monarchy must respect our constitu tion and our institutions”

and a head of state--the fact that one of these isn’t elected is a factor of stability. MDB It’s not like in past centuries when the grand duke was the head of state ‘by the grace of God’. But the people, and surveys show this, support it. This is also due to how successive grand dukes and grand duchesses have fulfilled this office and led the country through difficult times. The 2020 Waringo report into the monarchy criticised the functioning of the royal household, leading to a series of reforms. How satisfied are you with the follow-up to this report? MDB The reform of our constitution preceded the Waringo report. We had already discussed the administration of the royal household, the means needed for members of the royal household to represent the country. Up until now, the constitution still says that the grand duke receives gold ducats. The Waringo report was seriously done, and I’m glad about it. As befits the administration of the head of state, there is more transparency now. LG We’ve brought the institution into the 21st century. The institution is a business. It was important to respond to these points. We had some legal debates about details, and I have to say that I expected the government to inform us more regularly on the follow-up. But from what we hear, things are working. The rules are clear, and the discussions have calmed down. A lot has been done, but where would you say is room for further improvement? MDB What is remarkable about these reforms that are underway is that the constitution moves closer to reality, that the institutions as a whole are strengthened. If there were things we think could immediately be improved, we would do that.

Royal reform

It’s not so easy to answer this question unless you ask a minority in parliament who would say that they want to replace the monarchy with a republic. LG I cannot really give an answer because we looked at the topic for a long time. Constitutional reforms that need to be done quickly--such as removing the grand duke’s power to sanction laws in the framework of the euthanasia law… it’s not good when you have to make these isolated changes. The constitution is the foundation of our society. MDB If we opened a suggestions box, I’m sure that everyone would have an idea. But the idea is only good if it reaches a two-thirds majority in parliament. Questions were raised about separating the grand duke’s role as head of state from the private person, for example, when he attended the opening of the Beijing Winter Olympics as a member of the International Olympic Committee but met president Xi Jinping for political talks. Can you split the person from the office? MDB That’s a good question. I think a head of state needs to be able to have a private life. With trips abroad where he carries the country in his DNA, that’s more difficult. LG It should have been communicated better externally from the beginning. I assume that this was discussed with the government.

“ For Luxembourg, it’s a form of state that fits” the grand duchess, shouldn’t be confused with the head of state. But there’s a lot of potential for social commitment. It gives many possibilities. And the grand duchess does this well. LG The monarchy must earn respect. It’s not a given. Grand Duke Jean had a lot of respect because of his history. Grand Duke Henri has had to work harder. For the monarchy as an institution, it’s a challenge to, on the one hand, be close to the people. But people also want the glamour, the aura. They must strike this balance. I wouldn’t want to be in their place. It’s not easy.

You said that respect must be earned. How do you see the monarchy from the perspective of a younger generation, who are less attached to its history? LG It’s an interesting question. I have this discussion with my own children. I’d say young people think it’s cool, the pomp Looking at the next generation, and circumstance. It’s a bit of the lifewhat do you expect of them, style they aspire to. The younger generand how they will carry on ation could be more attached to the modernising the monarchy? monarchy than mine, which is again different from yours. LG The crown prince will be the first grand duke to act fully in the framework MDB My generation was comparable to of the new constitution. The reform has the climate movement… for us it was the put a democratic stamp on the monarchy peace movement and counterculture. and now it’s about the grand duke leav- LG Grand Duke Jean and Grand Duke ing his stamp on those changes. It’s a bit Henri very early on were interested in like building a company. Every CEO faces the environment before it was even a this challenge, and it will be interesting topic at political level. Maybe that’s also to see how he does this. Grand Duke how young people see it. Henri is different from Grand Duke Jean. It’s a generational question. MDB The big challenge, not only for the monarchy but for all leaders of this country, is to hold together and bring closer a community from many different origins… We haven’t addressed this, but I don’t Moderated by CORDULA SCHNUER want to skip it--the role of the spouse, of Photos ROMAIN GAMBA

Léon Gloden (CSV) is one of four rapporteurs of the constitutional reform

Essay

JUNE 2022

The power of strategic foresight While many organisations have struggled with the pandemic and its fallout, there have been opportunities for management consulting firms as a result. Here’s how they are helping clients forecast in a rapidly-changing world to bring them long-term value. Words NATALIE A. GERHARDSTEIN

Illustration SALOMÉ JOTTREAU

Strategy

“ When we talk about organisations, because you have a human dimension, you always have complexity”

The last few years have brought about Effecting organisational change may not much uncertainty. A global health crisis. only require humans changing their War in Ukraine. Rising inflation. What behaviours--but even if you manage to the future will hold is anyone’s guess, but change one node of an organisation, consultancy services are trying to keep there’s no guarantee that other nodes their clients advised, prepared for what’s would follow suit. With humans come biases too. “We to come. Luxembourg consulting company have ambiguity because usually our cliMindForest is one such company. ents come with one question, but is it the Specialising in change management, it right question? [What] is the objective recently partnered with the Luxembourg you really want?” adds Malchair. EY is regularly listed as a competitor School of Business to develop recommendations to help companies in the to the likes of other global companies grand duchy handle, even potentially such as McKinsey & Company. And EY reconfigure, early warning signals (EWS). Luxembourg partner, financial services After initial interviews were conducted consulting service line leader Laurent with local senior business leaders to col- Moscetti concurs that part of their own lect qualitative data, a survey was launched work involves helping their clients make in February to gather quantitative data. decisions based on bias-free, objective In June, an executive publication sum- data. “The way data is collected and hismarising the findings will be released. torically retrieved can lead to certain MindForest senior consultant Marion unconscious biases sometimes,” he says. Malchair has been part of the project “Confronting the outcome with market Of course, the tools of the trade vary and says the publication will be “for pro- standards, peer results and historical per- across issue to issue, and from sector to fessionals, so readable, practical… we formance helps to demonstrate the exist- sector. For a firm like Allen & Overy, this will give concrete tools and keys to see ence of these bias[es] and overcome [them], could mean that legal questions may not where [they] stand and that could be with the proper data management.” yet have precedents, especially in rapidAvoiding bias at the client level is one ly-developing areas like technology. applicable to any business leader,” across thing; doing so at the consultant level is various sectors. Meanwhile, EY has its EY NextWave Helping companies detect EWS is another. Malchair and Reuland, for exam- framework, which Moscetti calls “a unique part of the work MindForest is doing ple, say that MindForest’s employees chal- approach to delivering value for our cliregularly, with some of the largest employ- lenge one another, discussing from various ents, for their and our people, combining ers in Luxembourg but also for other perspectives in a bid to remove any poten- social impact and financial outcomes.” organisations. “There’s a tendency where tial biases in their own thinking. Also helping their clients are frameworks the more heavily regulated the market EY Luxembourg also favours such an like DevOps, Agile and Scaled Agile that the company is operating in, such approach. “Consultants could be exposed Framework, among others. as financial institutions, the more they to possible cognitive biases, particularly MindForest also has a variety of methhave a better orientation on risk matters,” if their team is not diverse enough. At EY, odologies in its toolkit--the conceptual explains Malchair’s colleague, senior we are focusing on building diverse and framework known as Cynefin, proposing consultant Tom Reuland. “Risk is a part gender-balanced teams to minimise the different decision-making domains. There’s of early warning, similarly it’s a part of potential impact of these biases.” design thinking, which centres on solving strategic foresight, but it kind of leaves problems in an innovative way (see page out the whole aspect of what opportuni- Tools of the trade 42). And plenty of roadmaps, from the ties are on the market.” Larger advisory firms like the Big Four can, lifecycle of a trend, understanding and of course, also tap into their global net- creating futures and more, which serve The human dimension works, which can also help them to assess as a basis for reflection and inspiration. The two consultants argue that much of megatrends and how they could make an employees’ having the right reflexes to impact from region to region. It’s similarly Megatrends impacting Luxembourg spot trends and allow the information to the case for a legal firm like Allen & Overy For most advisory services, keeping an percolate within an organisation and flow as well, with over 40 locations worldwide. eye on the regulatory and political clito the right decision maker(s) involves In a recent interview with Delano, newly mate is a critical part of strategic foreculture and mindset. MindForest says it named partner Catherine Di Lorenzo--who sight. Take tech, for example: Allen & “puts the human factor at the centre of heads the IP, data and tech practice--says, Overy’s Di Lorenzo says the “next big its consulting activities”, and it’s this human “We now have partners leading each and thing” companies should now be focused element that indeed makes their work every practice of our firm, and we are a on is the so-called “cookie law”. The full-service firm and one of the few inter- CNPD recently issued guidelines on web interesting yet complex. “When we talk about organisation, national firms [with] a full-service offering cookies and similar tracer technology. because you have a human dimension, which is led by partners,” which she calls Among other topics, there’s also the EU you always have complexity,” says Malchair. a “big differentiator”. artificial intelligence regulation in the

JUNE 2022

Essay

DESIGN THINKING Associated with sparking innovation of services and products, design thinking is a five-phase, non-linear, iterative methodology used by some of the world’s top brands, universities and consultancies. JUNE 2022

Sources

Harvard Business Review, Creately

Empathise

Define

Ideate

Listen, without judgement. Conduct research. Understand your users.

Gather data, research. Define user problems, challenges, pain points.

Brainstorm innovative, even wacky, ideas. All of them are worthy.

pipeline--another development which should be on companies’ radars, she argues, “especially if they use these kinds of tools for recruitment and HR.” Of course, even regulation isn’t necessarily keeping step with the rapid speed at which tech is developing. On the tech radar for EY Luxembourg? “Beyond the financial excitement on the metaverse and virtual worlds, NFTs [non-fungible tokens] represent, in my view, a very interesting development route for the real world,” Moscetti states. But on other trends linked to finance, for example, he’s not as optimistic: “In a context of strong inflation and increase of interest rates, the global economy is in great turmoil, and the financial markets are showing signs of nervosity,” he explains. “The second half of 2022 will probably be still under the same market conditions, leading to additional short [to] mid-term business moves and regulation adaptations, primarily.” He adds that should there be improvements in the geopolitical context as well as market recovery, he anticipates “strong activity” when it comes to mergers and acquisitions (M&A). He anticipates involved discussions about issues such as real estate, infrastructure, tax and more, and also how such topics will influence the future of Luxembourg’s attractiveness as a market, in terms of recruiting and retaining high talent.

Prototype

Build real representations of ideas.

Test

Get user feedback. Iterate rapidly.

Those issues are very much on the “the challenge comes with the specificities radar for MindForest as well, as are next of the Luxembourg market… [It] is thereyear’s elections. The anticipated popu- fore by nature often exposed to megatrends lation growth of Luxembourg will further in their early stages. I believe the Luxem strain an already headache-inducing traf- bourg leaders have developed a strong fic situation and access to affordable sense in assessing these trends and how housing--which, in turn, would reduce or when they will actually support the the attractiveness of the country, i.e., for local economy.” long-term residency. While Reuland predicts the increased housing prices even- “The crisis was not a black swan” tually plateauing, he wonders what more Nevertheless, and especially as a result could be done in terms of transport. While of the pandemic, companies are now praising the free mobility scheme that more alert for coming trends. As EY’s entered into effect in March 2020, he Moscetti says, “More than ever in periquestions whether Luxembourg should ods of high uncertainties, the ability to at some point implement a congestion receive third-party foresight is essential charge, similar to ones in large cities like for our clients.” They’re asking not just London, to prevent increasing traffic in about regulatory updates but also innovative examples in the market and stratthe city centre. Luxembourg can serve as an interest- egy-related advice. Reuland adds that even restaurant ing microcosm when it comes to megatrends. The MindForest consultants owners would be more inclined now than argue that it’s advantageous in the sense three or four years ago to have a contithat Luxembourg is small; it can adapt nuity plan--at least the ones who manwith its neighbouring countries (com- aged to weather the crisis. “The crisis of the pandemic was not prising around 45% of its workforce), while its international dimension means a black swan,” Malchair adds. “[Nor was] there is openness to being influenced the war in Ukraine. You had warning from other countries globally. “But once signals--it’s just that it doesn’t belong on we determine what the megatrend is, we your cognitive map. You think, no, it won’t are really quick to adapt and respond to happen--but really, you have the data.” Alas, there’s that complex human it,” adds Reuland. For Moscetti, the financial and green dimension creeping in once again… financing sector and international, cross-cultural nature bring strengths, but

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JUNE 2022

Dining near the airport Got some minutes to spare and fancy a nice meal before your flight? These restaurants around the airport are at your service.

1 Porta Vecchia The restaurant known for its French and Italian specialities has put forward a pasta dish with mozzarella to tantalise your taste buds. Porta Vecchia is located about 1.8km from the airport.

www.porta-vecchia.lu

Brasserie O’ This yummy quinoa burger--in three variants to adapt to vegetarian and vegan diets--with a side of homemade sweet potato fries is only one of many mouth-watering menus by the restaurant located 4.8km from the airport. www.brasserieo.lu

Words ABIGAIL OKORODUS Photos ROMAIN GAMBA

“There is a great diversity of food here [in Luxembourg].” 3

Michelle Cotton, head of artistic programmes and content, Mudam

d and trave o o

Airfield Restaurant & Living It’s asparagus season, and the restaurant located about 1.4km--or a two-minute drive--from the airport has made this delicious salmon trout fillet with white asparagus as an appetising teaser.

JUNE 2022

www.airfield.lu

Anne Faber shares her five favourite small bites around the world.

The 10-minute drive (7.8km) from the airport will be worth it after a single taste of the Châteaubriand Luxembourgeois “Charolais”. Meals made by the restaurant showcase the region’s artisans and local products. www.defeierwon.lu

2 Tel Aviv, Israel Sabich, an addictive pita with soft aubergine, egg, tahini and mango pickle.

3 Bangkok, Thailand Miang kham: betel leaves filled with peanuts, dried prawns, ginger, chili, shallot and sweet chili sauce.

4 Taipei, Taiwan Steaming xiao long bao dumplings.

5 Luxembourg Nothing beats a rieslingspaschtéit--crispy pasty, flavoursome meat filling and white wine jelly. Bliss with a glass of crémant.

Neha Poddar

De Feierwon

Photo

Lisbon, Portugal Crispy pastéis de nata with a silken pudding centre and cinnamon dusting.

Welcome to the Club

Business Club

JUNE 2022

In numbers

Flashback Your events

1,100

It has been a busy month of events for the members of the Club. The Scandinavian community was in abundance at the Delano Live which met in a new location, the Zulu Bar in the Rives de Clausen as sponsored by ING. 1 Jelena Matone highlighted how difficult it was to find women that wanted to work in cybersecurity. The architectural community filled the 10×6, which welcomed ten leading architects that presented buildings they had not designed themselves, including 2 Christine Muller, owner of Dewey Muller, who presented the unique Summerhouse in Sankt Margarethen in Burgenland, Austria built by Roland Ranier.

COMPANIES The number of company members of the largest business club in Luxembourg.

19,000 MEMBERS

The number of individuals who are part of the vibrantly active Paperjam + Delano Club community with whom you will get to interact.

250

EVENTS The number of opportunities to network and learn, split into 120 shows, talks, social events and 130 advanced trainings, workshops and webinars.

300

“We all have bias.” Rachel Treece The Henka Institute

HOURS

The number of annual training hours for your employees to develop their hard and soft skills: an additional benefit for you and useful extras for your teams.

HOW TO ATTEND PAPERJAM+ DELANO CLUB EVENTS ? You’re already a member Please check the Club section on our website paperjam.lu. Select, among all the digital and on-site events listed, the ones you would be interested in, fill in the registration form at the bottom page and register.

You’re not a member yet Please email the Paperjam+Delano Club via club@paperjam.lu and an account manager will be in touch to introduce you to all the perks offered by the largest business club in Luxembourg.

Programme June/July Tuesday 31 May

JUNE 2022

10×6

Inclusion: From Words to Action TIME 18:30 – 22:30 VENUE Lycée Vauban SPONSORS AlterDomus, Sodexo Wednesday 15 June EVENING TALK

Human 4.0: From IoT to Sextech TIME 18:30 – 22:30

VENUE Technopolis 6

Wednesday 6 July

“You should not forget meritocracy.”

CEO COCKTAIL

Jelena Matone European Investment Bank

Claes-Johan Geijer Honorary Consul for Sweden

CEO & Entrepreneurs-only Cocktail - Summer Edition TIME 18:30 – 22:30 VENUE The British Ambassador’s residence SPONSOR Rcarré

Photos

“A deep-rooted partnership between Scandinavia and Luxembourg.”

Eva Krins, Marie Russillo

011 BY MIKE K N2 OE DI DI DE

N GE

FO UN

JUNE 2022 EDITION

JUNE 2022

PUBLISHING DIRECTOR

Bérengère Beffort EDITORIAL DEVELOPMENT DIRECTOR

Editorial Phone (+352) 20 70 70-150 E-mail news@delano.lu JOURNALISTS

Teodor Georgiev (-158) Aaron Grunwald (-152) Tracy Heindrichs (-164) Jeffrey Palms (-156) Cordula Schnuer (-163) Josephine Shillito (-153) COMMUNITY MANAGER

Christophe Lemaire PROOFREADING & FACTCHECKING

Maison Moderne PHOTOGRAPHY

Romain Gamba Guy Wolff Matic Zorman

Nathalie Reuter EDITOR-IN-CHIEF, DELANO MAGAZINE

Publisher

Natalie Gerhardstein (-154) EDITOR-IN-CHIEF, DELANO DIGITAL

Duncan Roberts (-151) DESK EDITOR, DELANO MAGAZINE

Abigail Okorodus (-155)

Brand Studio

www.maisonmoderne.com Phone (+352) 20 70 70 E-mail publishing@maisonmoderne.com

Phone (+352) 20 70 70-300 E-mail brandstudio@maisonmoderne.com

FOUNDER, CHAIRMAN AND CEO

DIRECTOR

ADMINISTRATIVE AND FINANCIAL DIRECTOR

Mike Koedinger

Youcef Damardji

Etienne Velasti

STRATEGIC BUSINESS DEVELOPMENT ADVISOR

PUBLISHING DIRECTOR

Francis Gasparotto (-301)

Bérengère Beffort

HEAD OF MEDIA SALES AND SOLUTIONS

STRATEGIC BUSINESS DEVELOPMENT ADVISOR

Dominique Gouviaux (-338)

Francis Gasparotto

COMMERCIAL ASSISTANT

DIRECTOR, BUSINESS CLUB

Céline Bayle (-303)

Artur Sosna

MEDIA ADVISORS

CHIEF DIGITAL OFFICER

Nicolas Galtier (-318) Mélanie Juredieu (-317) Virginie Laurent (-322) Aline Puget (-323) Léo Santoro (-335) Mikaël Spezzacatena (-326)

Viktor Dick

HEAD OF CONTENT STRATEGY

Emmanuelle Thivollard CREATIVE DIRECTOR

Jeremy Leslie

HR MANAGER

Sylvie Notarnicola ADMINISTRATIVE MANAGER

Sylvia Leplang DIGITAL PROJECT MANAGERS

Meryem Alamy & Antonello Di Pinto DISTRIBUTION MANAGER

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Pick’n’mix

Behind the pop-up

Julie Conrad

Anna Castellucc

Fanny Bervard

Ghislaine De Poorter

JULIE CONRAD DESIGN STUDIO

NANA’SELECTIONS

ROMANTICO ROMANTICO

MADE BY GHIGI

To bring design into the heart of the city and give a behind-the-scenes look at the development of local products.

Which item do you sell the most?

Our “Luxembourg is wild” illustrations; DONO bags made from the tarpaulin that was on the Pont Adolphe during its renovation; Corian sushi plates by Norbert Brakonier.

Are pop-up shops a movement?

The pandemic brought uncertainty but also drove a lot of people to do something different. Pop-ups offer the ideal conditions to test-drive an idea in a safe way.

Ideal spot for a pop-up shop in Luxembourg?

30, rue des Capucins. (Wink.)

Are pop-ups synonymous with sustainability?

Not always, but many are new/small businesses that want to try something different. And there’s a nice current towards more sustainability in new businesses…

The concept of my shop is to sell European handcrafted products made by craftsmen or small family businesses.

Italian bags made of leather; fabrics and soaps.

It’s a kind of new way of selling products in an affordable space.

The ideal place is a well-frequented place!

It could become sustainable if the mentality of buyers adapts to this mode of commerce.

Our bestsellers are earrings: the style we sell the most is “Julie Nathi Hoops”, asymmetrical pearl hoops, a timeless classic with a twist.

A pop-up can create a hype-place for a limited amount of time, a space people want to visit before it closes. To me, pop-ups are the innovation of retail.

It’s important to conduct market research before opening your pop-up. There is not one specific place: it has to be adapted to your product/service.

Not necessarily, but they should be. To us, a pop-up store also means not having large stock levels. A lot of our purchases are made by hand, to order.

A cushion that we make with coloured fabrics where we mix vegetal and geometric patterns, velvets, jacquards, and cotton furniture fabric.

Interior decoration objects: cushions, storage baskets, stools, laundry bags; and fashion accessories: shopping bags, pouches, scrunchies, fabric masks.

In Luxembourg, it’s a very recent phenomenon; the City of Luxembourg has been offering this opportunity for only a few years.

The city centre: people from Luxembourg and tourists frequent the town.

It really depends… you can sell both madein-Luxembourg and made-in-China. Made by Ghigi offers artisanal products handmade in Luxembourg.

Serge Benasutti, provided by participants, Shutterstock, JCDS, Romantico Romantico, Alicia Bertomeu

What is your pop-up store’s concept?

To take customers on a visit to the Ligurian coast: Mediterranean temperament and minimalistic modernity are translated into unique “made in Luxembourg” jewellery.

Photos

JUNE 2022

Four owners of Luxembourg pop-up stores provide a glimpse of the short-term retail model.

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Delano June 2022

Articles inside

Pick’n’mix

CULTURE - FRANÇOIS REINERT

BUSINESS - SABRINA SAGRAMOLA

Essay

FINANCE - GIANLUCA FRENA

POLITICS - JEAN KONSBRUCK

FINANCE - SERGE WEYLAND

POLITICS - LYDIE POLFER

Head to head