What do you get when you apply a business framework to social challenges? The answer is impact investing, and this week’s guest, Caroline Vance, is an expert. She’s spent most of her career managing impact investment funds improving access to basic services for low income communities in the developing world. With a background in corporate social responsibility, she gained experience exploring causes in which to invest that can make returns for companies.
Jillian and Caroline discuss what goes into impact investing, the differences between that and ESG investing, and how impact investing has the power to create a tide of positive change. Caroline also shares her top 3 pieces of advice for companies looking to make a social and environmental impact.
Takeaways from this episode:
- Impact investing involves seeking out investments that have a measurable social or environmental outcome alongside financial return.
- Be careful when selecting investment partners and don’t be afraid to place guardrails around your non-negotiables and values as an organization.
- Choosing the wrong investment at the wrong time can sink your ship. Make sure you have a long term strategy in place and alignment with your partners.
Topics covered in this episode:
- Impact investing
- Investing in social enterprise
- Finding investment partners
- ESG investments
- Microfinance
- Nonprofits
- Carbon footprint
- Long-term returns
Operating Principles for Impact Management
https://www.impactprinciples.org/
Calvert Impact Capital, Community Investment Note
https://www.calvertimpactcapital.org/invest
Episode 15: How to Successfully Craft a ‘Do Good’ Business Strategy
https://thegoodofficepodcast.com/episodes/15
Episode 10: How to achieve an ethical, dignified, and impactful supply chain
https://thegoodofficepodcast.com/episodes/10
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Show notes and more resources:
https://thegoodofficepodcast.com/episodes/26