putting the "impact" in impact investing

PUTTING THE “IMPACT” IN IMPACT INVESTING

A Stakeholder-Focused Evaluation Approach

Presenter: Rose Kowalski

Social Impact

Grantor

Grantee

Grantor / Grantee Relationship

5 Dimensions of Impact Investing

2

1

3 4 5

Social Impact

Engagement

1st Dimension of Impact Investing

Engagement

Capital Social Impact

2 Goals: Invest in ventures with monetary return & impact

2nd Dimension of Impact Investing

Engagement


3 Goals: Earn capital for themselves, investors, AND

make impact


2

1

3

4 5

2 1

3

Engagement

?

Imagine You Are An Investor… 1

Mission: Advance

Education

Define your mission… 1

Investor

Mission Ideal Investee Activities

Advance Education

Buy textbooks

Improve course

content

Define activities that meet your mission…

1

Investor Investee A

Investee B

Mission Ideal Investee Activities

Activities Activities

Advance Education

Buy textbooks

Improve course

content

1

Imagine You Are An Investee…

Define your mission…

2

Investee

Activities Desired Impact

Buy textbooks

Improve schools Improve

course content

Link your activities to desired impact.

How do you link activities to your

mission?

2

Investee


Buy textbooks


course content

Validated studies & lit reviews

Cite studies

supporting your activities, refer to

them when talking to investors.

2

Investee


Buy textbooks


course content

3 Find the overlap between investor & investee...

Investor Investee

Desired Impact


Improve School

Performance

Buy textbooks


course content

3 Track specific components of the engagement…

Investor Takeaway

1. Define mission

2. Link mission to investee activities

3. Invest accordingly

Investee Takeaway

1. Define mission

2. Link mission to your activities

Engagement

Engagement Takeaway

1. Link investee activities to investor mission and desired impact


Engagement


2

1

3

4 5

Topic for AEA 2016!

putting the "impact" in impact investing

Data & Analytics