Big Society Capital today (Wednesday), welcomes the Global Impact Investing Network’s (GIIN) core characteristics of impact investing. The characteristics were released at the Impact Summit Europe, following a consultation period with global leaders on impact investing.
The characteristics provide further definition of the baseline expectations for impact investing. This is in order to offer financial markets greater clarity on what constitutes credible impact investing and to ensure investments have the greatest chance of achieving positive social or environmental impact.
Evita Zanuso, Senior Director, Financial Sector and Investor Engagement, Big Society Capital, commented:
“The impact investing industry has been in dire need of more clarity around what exactly constitutes impact investing for some time. We were pleased to be involved in the Global Impact Investing Network’s (GIIN) consultation process, and agree with the four key characteristics it has highlighted. We now need the whole industry to work together to ensure these characteristics are adopted globally. Given the latest GIIN estimate for the global impact investing market is $502 billion, this is more important today than ever before.
“There is, of course, always more that can be done and we believe the next challenge for the industry will be incorporating end-user feedback. This will ensure that the social or environmental impact is being felt where it’s most needed. It could also be beneficial in the decision-making process when considering impact performance and the quality of the impact management practices.”
According to the GIIN, to be classified as impact investing an investment must intentionally contribute to positive social and environmental impact; use evidence and impact data in investment design; manage impact performance; and contribute to the growth of the impact investing industry.
The Global Impact Investing Network’s Core Characteristics can be found in full on its website here.
NOTES TO EDITORS
About Big Society Capital
Big Society Capital improves the lives of people in the UK by connecting social investment to charities and social enterprises.
We know that investment can help charities and social enterprises achieve more. We believe the greatest chance to improve lives comes when investors and enterprises are both motivated by social mission.
We engage with investors, fund managers, charities and social enterprises to make it easier to use social investment. With our co-investors, we have made over £1.7bn of new capital available to organisations with a social mission, through investments into fund managers and social banks. We have a special focus on: providing homes for people in need; supporting communities to improve lives; and early action to prevent problems.
ABOUT THE GLOBAL IMPACT INVESTING NETWORK (GIIN)
The Global Impact Investing Network (GIIN) is the global champion of impact investing, dedicated to increasing the scale and effectiveness of impact investing. The GIIN focuses on reducing barriers to impact investing so more investors can allocate capital to fund solutions to the world’s most intractable challenges.
Kathryn Mortimer, Press Officer, Big Society Capital
T: 020 7186 2537, E: firstname.lastname@example.org