Q: Hi Adam, thanks for chatting with us. So, tell us a bit about CIBC and your role in Asian Investment Banking.

A: CIBC is a leading Canadian-based global financial institution with 11 million personal banking, business, public sector and institutional clients. Across Personal and Small Business Banking, Commercial Banking and Wealth Management, and Capital Markets businesses, CIBC offers a full range of advice, solutions and services through its leading digital banking network, and locations across Canada, in the United States and around the world.

I moved to Hong Kong approximately three years ago to help advise on Canadian linked M&A transactions – either Asian inbound investment into Canada or Canadian outbound investment into Asia. Originally, I focused on energy but have expanded my coverage sectors to also include technology.

Q: You’ve spoken a bit online about space resources, and you recently completed studying about this emerging industry. What are space resources, and how far away are we from having this become economical?

A: The space resources economy is fascinating and definitely an investment sector that is underrecognized. I consider it part of my tech sector coverage.
Space resources is the utilization of space as means of driving investment return. The sector is quite large, led by satellite, aerospace, internet, IT hardware, telecom and media. Smaller contributors are represented by communications systems and insurance. Even the farming sector is investing in space resources through the adoption of satellite imagery into its day to day operations. Many people don’t realize that the space economy is valued at US$360 billion and is expected grow into a US$1.1 trillion industry by 2040.

I believe space resources is the next big tech investment opportunity. I see an incredible opportunity for investors to make an outsized return by participating in this growing sector and I think there is still a “first mover advantage” opportunity.

Q: The Asian investors looking at the Canadian market, which resources and parts of the energy sector are they interested in?

A: Historically and I think it’s still true, Asian companies are looking for upstream energy security. Being able to capture a large amount of resource in a stable country is very important and this is something that the oil and gas industry in Canada provides. It’s no secret that Canada has had difficulty in getting its resources to the Asian market over the last several years but there are initiatives such as the Canadian government-owned Trans Mountain oil pipeline expansion and Shell’s LNG Canada project that have a high probability of going ahead. These initiatives will open the Asian market up to Canadian resources.

Q: What do you think the next 5-10 years will look like in the energy and energy tech space?

A: I see the adoption of technology continuing to play a very important role in the energy industry so investment in R&D is key. Capable management, capital discipline and good assets located in stable countries are also important factors to success.