At the dawn of a new era, women in Japan still face old challenges: they’re paid less than men and struggle to scale the professional ladder. How can the impasse be broken?
Investing for Global Impact, how finance can help change the world
More and more wealthy families care about our Planet. Data emerged from the Investing for Global Impact prove this.
Do the world’s wealthy families only aim to get richer? It might be true in some cases but luckily awareness levels have changed over the years. And millionaires are increasingly trying to use their money to change the world for the better. The Investing for Global Impact report proves this.
What is Investing for Global Impact
Investing for Global Impact 2017 is a report by the Financial Times written in collaboration with GIST (Global Impact Solutions Today) and supported by the UK’s Barclays bank. The fourth edition of the report was presented in March in Paris, France. The study is one of a kind as it assesses two macro areas: impact investing, i.e. investments that generate financial return alongside a positive, measurable impact on people and the Planet; and philanthropy, i.e. charitable activities that – contrary to investments – are non-refundable.
Who took part in the research
The research also stands out for the choice of interviewees. While similar studies usually involve banks, pension funds or insurance companies, Investing for Global Impact focuses on those who manage wealthy families’ assets: foundations and family offices. Foundations are widespread globally but family offices are established mainly in the United States. They’re service companies that manage the assets of one or more wealthy families (in this case they’re called multi-family offices or multi-client family offices). On the one hand they provide advice in the financial, fiscal and philanthropic fields, while on the other hand they manage investments and accounting. They can be independent companies or owned by big banks.
A total of 246 respondents from 45 countries were included in the survey, 35 per cent more than in the previous edition. For the first time researchers took a number of family offices and foundations that aren’t currently involved in impact investing and philanthropy into consideration, in order to comprehend their choices and assess future developments.
Impact investing is an established reality
Some hopeful signs emerge from the Investing for Global Impact report. The investment decisions of wealthy families appear to be more frequently influenced by non-financial factors such as CSR (Corporate Social Responsibility) and ESG (Environmental, Social and Governance criteria). Generally, impact investing is thought to be a more efficient choice compared to philanthropy. Also, it is no longer an exception but an integral part of wealthy families’ investment portfolios just like any other financial instrument. This isn’t an obvious fact as impact investing is the latest “arrival” in the large family of sustainable investments. And in some ways, it is the most advanced and innovative strategy.
For many years the greatest obstacle to sustainable investments has been the fear of sacrificing returns. But this belief has been proven wrong by facts. This year 90 per cent of family offices and foundations achieved positive financial returns as a result of impact investing, in line with market rates. Also, 75 per cent of cases have met or exceeded expectations. 88 per cent of interviewees confirm this trend also in terms of social returns.
Featured image © Spencer Platt/Getty Images
Quest'opera è distribuita con Licenza Creative Commons Attribuzione - Non commerciale - Non opere derivate 4.0 Internazionale.
Inequality has increased anywhere in the world despite substantial geographical differences, with the richest 1% twice as wealthy as the poorest 50%. The results of the World Inequality Report 2018.
We talk to Samir de Chadarevian, an expert in sustainable development, philanthropy, impact investing and social innovation.
The global gender gap, the 2017 report shows that disparity has increased for the first time in a decade
The global gender gap or index has widened, the 2017 World Economic Forum report shows. In view of the International Day for the Elimination of Violence against Women, we analyse how these phenomena are sadly related.
Gamil de Chadarevian. These stories show that there’s someone who can – and wants to – make a difference
We can learn a lot from philanthropists and families investing their money for the future of all of us. We talk about this with Gamil de Chadarevian, founder of GIST Initiatives.
How do wealthy families invest their capital? Fortunately, impact investing is an increasingly common choice. An anticipation of some of the most important findings.
All companies aim to profit, but some of them are doing something for the society. They’re called benefit corporations.
Philanthropy and impact investing are two instruments to change the world, for the better. Here’s why we’ll be talking about this approach over the next few months.
Many investors have urged banks financing the Dakota Access Pipeline to either support rerouting the pipeline or divesting from it. Now the hot potato is in their hands.