Overview
This short-format piece targeting impact investors and social entrepreneurs provides real-world examples of impact investing based on author-developed cases derived from their work and research. It discussed two overarching themes of impact investing with cases and supporting evidence. Coverage includes: MISSION FIRST AND LAST Summary of Theme Myth: Impact investing is either financial-first or impact-first, where financial returns or impact are prioritized across each stage of a fund's or organization's lifecycle. Reality: Impact investing involves weighing financial and impact objectives differently throughout fund lifecycles. A clear strategy and structure for achieving mission is at the core of enabling the process of investing and outperforming funds. This happens before any investment is made and again in the assessment of mission at the end of the investment. In between, most funds act very much like other investors, and financial concerns dominate. Fund examples: Microvests founded by two global nonprofits and resulting practices. MULTILINGUAL LEADERSHIP Summary of Theme Myth: A single-minded focus on the financial elements of impact investing guarantees success Reality: Even as those responsible for investing must be finance-aware, fund strategy and leadership is a cross-sector discipline and requires familiarity with policy, business and social sectors.