“I want to make a difference”

• Full Professor of Sustainable Finance
• Specialised in financial markets, empirical behavioural finance, innovation and financial innovation, and sustainable finance
• Wants to leave a positive mark on society

Multidisciplinary research

Thanos specialises in finance, with a focus on behavioural biases and decision making. His research draws on several areas of study, not only finance, but also behavioural economics, innovation in general and financial innovation in particular. “In addition, I rely heavily on research from the field of psychology as I’m interested in understanding the role of individuals and groups in solving certain problems. One of the big questions I’m currently focussing on is understanding how individuals can tackle sustainability challenges.”

Personal characteristics and sustainable behaviour

To do this, he approaches sustainability from all angles, taking into account environmental, social and governance (ESG) factors. “In terms of governance, I’m looking at how an individual’s characteristics, such as social, economic and personal traits, can influence the sustainability of their behaviour”, he explains. “For example, my research has shown that the narcissism of semi-public authority figures in the UK higher education sector, particularly university vice-chancellors, can affect a university’s performance. I’ve also looked at how economic sentiment, or people’s feelings about the economy in general, can impact the commodities market.”

Pricing environmental destruction

Sustainability has always been an important issue, but only recently has it gained widespread attention. Thanos is adamant that we can no longer ignore the impact of industrialisation on the environment and our finances. “Industrialisation has both positive and negative externalities that we need to take into account”, he says. “One of the hot topics in my field is climate finance, which involves integrating climate considerations into our pricing models. At the moment, we lack ways to put a price on environmental damage, such as deforestation, or anything that might affect our quality of life in the long term. Obviously, to ensure that we are making sustainable decisions for the future, we need to find solutions to integrate not just the environment, but all aspects of ESG into our pricing models.”

AI and financial inclusion

Another hot topic is artificial intelligence (AI), a rapidly developing field that Thanos believes has the potential to impact sustainability in a number of ways. Not only is he interested in exploring how AI can help us incorporate sustainability risks into pricing models more efficiently, but he also reckons it can play a role in advancing sustainability by promoting financial inclusion and literacy. “You see, financial inclusion has been identified as a key enabler for seven of the United Nations Sustainable Development Goals. By enabling more people to participate in financial markets through investing and saving, we can achieve a more sustainable future.”

This is easier said than done, however. “Trust is one of the main issues in finance in most countries”, he explains. “People tend to lack trust in financial institutions, which has led to the development and popularity of bitcoin, but that’s another issue. Because of this lack of trust, we need to find ways to make investment more inclusive.” Why is that? “The general public is not taking full advantage of what the financial markets have to offer, which is mainly effectively taking care of their purchasing power. For example, if you have savings, how do you transfer them into the future? If you don’t trust the banks to do that, then what? That’s why I’m working on a project to explore how AI and robo-advisors¹ can help individuals trust a particular service that allows them to transfer value from today to the future. Our current study focuses on increasing the take-up of robo-advisors in China, where personal savings rates are very high, around 30%, but investment rates for those individuals are relatively low. We need to ensure that people move from saving to investing.”

Place to be

Thanos has spent 20 years in higher education in the UK, first as an undergraduate, then as a postgraduate and finally as a member of academic staff. Why did he decide to join us?

“My experience in the sector has shown me that there is often too much research for research’s sake, with little incentive to develop research that has a societal or business impact”, he replies thoughtfully. “But Vlerick is different. The research done here is done with the aim of creating meaningful and impactful value, whether it’s equipping our students with the knowledge they need to succeed or collaborating with companies. I chose Vlerick because it’s in the heart of Europe, where things are happening, and because it’s a place where I can make a difference. And also because Vlerick offers ample opportunities for interdisciplinary research. For me to work with a professor of marketing, for example, is not unusual here, unlike in other institutions.” Smiling, he adds: “My message to colleagues and students is simple: I’m always available to discuss research or teaching collaborations with anyone who feels we can have fruitful discussions. You know where to find me.”

Active teaching

As Professor of Sustainable Finance, Thanos’s main aim is to put sustainable finance at the heart of our research and teaching agenda. “My research interests lie at the intersection of digital finance and sustainable finance, which allows me to have one foot in each area.”

He is a strong advocate of active teaching methods, and his commitment to this approach has won him several awards in the UK. “I’ve found that the most effective way to learn something is to teach it yourself, and I’ve gained valuable experience in the process”, he recalls. “In my teaching, I often use alternative techniques such as classroom flipping, where I put the students in my shoes and step away. Rather than delivering learning material, I see myself as an enabler or facilitator of learning, standing by to help students achieve their goals.”

Positive impact

This role of enabler or facilitator describes him to a tee. “What I’m hoping to achieve is to leave a positive mark through influential and meaningful research, or by interacting with students and equipping them with the necessary tools to realise their ambitions. I think that’s a very down-to-earth way of contributing to society.”

So when asked what gets him out of bed in the morning and what gives his life a sense of purpose, his answer comes as no surprise: “I’m passionate about making a positive impact, both professionally and personally. I’m driven by how we can create change in society. Whether I’m thinking about my children or my students, the goal is the same: to make a difference in the world.”

¹ A robo-advisor is a digital platform that uses algorithms to provide automated investment advice and portfolio management services.