This article argues for the necessity of adapted portfolio tools to effectively open and expand the market for impact investments. It highlights that traditional financial portfolio management tools are often inadequate for assessing and managing the dual objectives of financial return and social impact. The paper explores how social entrepreneurship and social finance can leverage sustainable finance principles to develop new tools that better integrate social and environmental considerations into investment decisions, thereby facilitating broader participation in impact investing.

This report from the Department of Justice Canada provides an overview of the future of social financing, with a particular focus on Social Impact Bonds (SIBs) and other innovative instruments. It outlines the potential for these mechanisms to drive social change by attracting new capital and fostering results-oriented interventions. The document offers a concise “gist” of the evolving landscape, examining the benefits and challenges of various social finance tools in the Canadian context and beyond.

This article explores the emergence, current state, and future perspectives of Socially Responsible Investment (SRI). It traces the origins of SRI from religious and moral considerations, detailing its evolution in response to socio-political concerns and corporate conduct. The paper highlights the global rise of financial social conscientiousness and the efforts by organizations like the UN to harmonise diverse SRI practices. It also discusses SRI’s potential in the aftermath of the 2008/09 financial crisis to foster financial stability and re-establish trust in markets.

This article addresses common misconceptions surrounding impact bonds, aiming to clarify their true nature and potential as a financing mechanism for social good. The authors debunk five prevalent myths, providing a nuanced perspective on how impact bonds function, their benefits, and their limitations. The piece emphasizes results-based finance and highlights the importance of understanding the intricate details of these innovative financial instruments to maximize their effectiveness in achieving social outcomes.

This article, “Not So Fast: The Realities of Impact Investing,” offers a cautious perspective on the burgeoning field of impact investing. It delves into potential challenges, such as the reliance on subsidies and the complexities of achieving both financial and social returns. The author urges a realistic assessment of impact investing’s capabilities and limitations, suggesting that while promising, it faces significant hurdles that need to be acknowledged and addressed for its sustainable growth.

This report, a collaboration with The Rockefeller Foundation, examines innovations in sustainable finance across Asia, focusing on how financial mechanisms can support a more equitable and resilient future for the region. It highlights emerging trends, challenges, and opportunities in sustainable finance, including the role of insurance and financial inclusion in driving impactful investments. The authors provide strategic insights for various stakeholders, aiming to foster a robust ecosystem that channels capital towards sustainable development goals in Asia.

This report explores new models of social financing, focusing on social investment and the challenges associated with it. It delves into Social Impact Bonds as a prominent example, discussing their evaluation and the roles of various stakeholders. The report aims to provide insights into how innovative financial mechanisms can be utilised to address social issues, while also acknowledging the complexities and potential pitfalls in their implementation and assessment.