Published on

  • Be the first to comment

  • Be the first to like this

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide


  1. 1. Community Investment. Invest to End Poverty Calvert Social Investment Foundation Shari Berenbach, Executive Director
  2. 2. Where does Community Investing fit into the broader responsible investment picture? Community Investment Screening Shareholder publicly traded Activism w/ stocks + bonds companies ...in people!
  3. 3. Calvert Group Calvert Foundation  Mutual fund company  Established Calvert with $8 billion in assets Community Investments in under management 1995: individuals/institutions  15 Years ago launched invest soundly in global pooled Socially Responsible portfolio ($80 million/assets) Investment - social  Creating community screens for publicly investment as a new asset traded securities class in the financial services  In 1990 Calvert socially- industry screened mutual funds  Developing information and elected to place 1-3% of investor services for C.I. total assets in community  Administers the Calvert investments ($13.5 Group’s 1-3% mutual fund million+) allocation into C.I.
  4. 4. Calvert Foundation adds value by reducing risk,  BORROWERS providing transparency and professional management  INVESTORS Community development Calvert loan Repaid Repaid Individuals Foundation funds Investment dollars Reduces Loans Community Risk development Foundations corporations Micro-finance  Security enhancement institutions Corporations  Portfolio diversification  Transparency Social enterprises  Professional management Religious organizations Non-profit facilities / Coop’s
  5. 5. What does Community Investment accomplish? There are four sectors of community impact. AFFORDABLE HOUSING MICROENTERPRISE • build/rehab housing • small cottage industries • first mortgages • loans less than $25k US • training & • as little as $50 abroad empowerment • peer lending and TA SMALL BUSINESS COMMUNITY DEVELOPMENT • targeted populations • important infrastructure: assisted to start/expand non profits, daycares, clinics, businesses cooperatives and • $25,000 and over environmental
  6. 6. HIGH COMMUNITY IMPACT Insured Not Insured CDLFs CD Banks Community Investmen t CDCs Credit Unions Portfolios MFIs ‘Market’ Risk/Return ‘Below Market’
  7. 7. Calvert Foundation has a portfolio of three social enterprises Social enterprises Statistics Description Community  1995 launch Low-risk, low-return security, available Investment Note  1,500 investors nationally to individuals and institutions, used ("CIN")  Assets: $52mm to provide financing for community  +$8mm Subdebt development intermediaries on flexible terms Community  2000 launch Core capabilities on fee for service basis: Investment  700 investors – Due diligence and asset administration Partners  Assets: $20mm services ("CIP") – Investor note administration on behalf of other issuers – CIN-like securities registrations – Structuring and underwriting of investments for direct investments from foundations and social investors Calvert Giving  2001 Fall Donor advised fund offering mix of Fund launch socially-responsible and community ("CGF")  100 donors investment options (e.g. CIN), and  Assets: $5mm providing web-based flexibility for giving and investing options
  8. 8. Based on strong track-record, Calvert Foundation is uniquely qualified to connect investors with community non-profits. CCI Growth Since Inception $60 M $51 $50 $38M $40 $32M $30 $20 $14M $9M $10 $1M $3M $0 1996 1997 1998 1999 2000 2001 2002
  9. 9. Community Investment ProfilesTM Online Database Choose Geographic Impact Choose between Social Impact Sectors [ http://www.calvertfoundation.org ]
  10. 10. Even stories and pictures of impact! A Long Journey Bertha Sandoval Rivera is a living testament to the power of microlending. Twenty-six years ago, Bertha made her living selling vegetables on a street corner. Because she had no cash, she had to buy her produce on credit at inflated prices. By the time she had paid the supplier back at the end of each day, she only had enough money to keep her family fed that night. “It was very sad,” she remembers. Unlike many entrepreneurs who remain caught in that daily fight for survival, Bertha has been able to move forward. Today, she has her own stand selling paper goods, snacks and other basics [ http://www.calvertfoundation.org ] in a popular market in the Lima neighborhood of San Juan de Miraflores. She also rents two additional stands, both of which are operated by her grown children. Bertha’s business assets – once zero – now add up to well over US$40,000.
  11. 11. SROI Calculator  Data Collection- Survey Instrument – Each year use survey instrument to collect key outcome indicators per organization: data is self-reported by organization  Relational Data-base – Data points are entered into relational data-base so it can be sliced and diced  SROI Calculator – Investor can click on organization and sector and get average out- puts per $ invested  Good: SIMPLE Click and you get an answer
  12. 12. SROI Calculator  Not so Good: Simple – Focuses on very simplistic output measures – Little rigor in terms of longitudinal or multi-variable outcomes or impacts  US versus International Experience – Concept of scale, sustainability largely absent – Focus on grant funded projects, not institutions and/or sector building – Far fewer resources – JUST Now, US CDFI Industry beginning to tackle steps taken in the 80/90s -- MIS, common definitions, consistent data collection