[*] A defined universe of collective impact investments e.g. OEIC, Investment Trust, REIT and Unit Trust, registered for sale in the UK, with an ‘ethical', ‘sustainable', ‘ESG', ‘SRI’ or ‘social impact' objective
The Spectrum of Capital
We believe the 'spectrum of capital' helps as a frame of reference. It presents the 'impact economy’ by mapping the relevant financial and social goals aligned with the varying investment approaches on a continuum.
| Investment approach` | Traditional | Responsible | Sustainable | Impact Driven | Philanthropy | |||
|---|---|---|---|---|---|---|---|---|
| Financial goals | Deliver competitive risk-adjusted financial returns | Tolerate higher risk | Tolerate below market returns | Partial capital preservation | Accept full loss of capital | |||
| Impact goals | Avoid harm and mitigate ESG risks | |||||||
| Benefit all stakeholders | ||||||||
| Contribute to solutions | ||||||||
|
Don’t consider May have significant negative outcomes for people and the planet |
Avoid harm Try to prevent significant effects on important negative outcomes for people & planet |
Benefit Effect important positive outcomes for various people and the planet |
Contribute to solutions Have a material effect on important positive outcome(s) for underserved people or the planet |
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| Impact Investment Collectives[*] Portal PreviewSign up/in for preview and/or access | ||||||||
| Thanks to: UK National Advisory Board On Impact Investing, 2017 & Impact Management Project, 2017 | ||||||||
Key benefits:
- Builds a relationship of trust with investors.
- Helps differentiate you from the competition.
- Turns your clients and professional connections
into advocates of your firm. - Ticks personal and corporate boxes.