Enhancing impact: Investor and enterprise contribution

Impact measurement and management (IMM) is central to our impact investing philosophy and process. Contribution lies at the heart of IMM, helping to keep us and the companies we hold transparent and accountable. As we continue to seek levers for enhancing impact, we aim to evolve and hone our thinking about contribution.

Views expressed are those of the authors and are subject to change. Other teams may hold different views and make different investment decisions. The value of your investment may become worth more or less than at the time of original investment. For professional or institutional investors only. Your capital may be at risk. Please refer to any investment risks noted at the end of the content available for download below.

Impact measurement and management (IMM) drives our approach to impact investing, with enterprise and investor contribution at the heart of the process. Without a robust approach to IMM, we would be unable to achieve our objectives: outperforming market indices and delivering attractive results for our clients by investing in companies and issuers whose core products and services, in our view, help solve the world’s biggest social and environmental problems.

Because we believe innovative impact solutions are the key to creating both financial value and tangible impact, investors must be able to analyze, track, and measure impact outcomes as thoroughly as they do financial outcomes. We hold ourselves accountable for quantifying an investee’s enterprise contribution — positive and negative — and assessing how the impact outcomes potentially support long-term financial success.

We also strive to demonstrate our own contribution by providing responsible exits for private impact companies through patient capital and impact alignment; by signaling to public-market participants the importance of impact; and by actively engaging, addressing underserved markets, and supplying capital. In this paper, we share our evolution on IMM and our thinking about contribution, particularly investor contribution…

To read more, please click the download link below.

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