The document introduces the Principles for Positive Impact Finance, which provide guidelines for financiers, investors, and other stakeholders to identify, promote, and assess positive impact finance for sustainable development. The principles aim to help bridge the estimated $5-7 trillion annual funding gap to achieve the UN Sustainable Development Goals. They establish a common framework for determining the positive economic, social, and environmental impacts of financial activities, projects, and entities. The principles also require transparency in methodologies, intended impacts, and achieved outcomes to ensure only legitimate positive impact initiatives are supported.
Good Measures: The Case for Quantification in Impact InvestmentPabloVerra
1) Impact measurement and management is important for impact investors to understand their social and environmental performance, improve investment decisions, and avoid "impact washing".
2) There have been several developments in impact measurement standards and tools over the past decade, including the IRIS catalog of metrics, the Operating Principles for Impact Investing, and the DELTA and AIMM frameworks.
3) Recent frameworks like IRIS+ and methods like those from inFocus aim to increase standardization, comparability, and practical guidance for impact investors in how to define goals, select metrics, and manage performance.
Guidebook for Impact Investors: Impact MeasurementPurpose Capital
Purpose Capital recently published Guidebook for Impact Investors: Impact Measurement, a guidebook for impact investors to help them enhance their use of social metrics.
The guide provides investors with with:
- A basic overview of social metrics for impact investing
- An outline of the issues and challenges of social impact measurement
-A summary of existing social impact measurement tools and a description of how they are being used
-A set of diagnostic tools to help you think through key questions and issues related to measurement and to select appropriate social impact metrics based on selected goals
For more information, visit: http://www.purposecap.com/portfolio/guidebook-for-impact-investors-impact-measurement/
The document summarizes a review of progress made in implementing commitments under the International Health Partnership (IHP+), including:
1) Partners have taken initial actions towards IHP+ goals but it is too early to assess long-term impacts. Coordination is increasing but cooperation and collaboration need more work.
2) Country compacts are being developed but need to balance specificity and inclusiveness. Financing expectations may not be met given challenges in increasing funding.
3) Institutional reforms are needed within partner organizations to change incentives and empower staff to work differently. Civil society engagement also needs strengthening.
This document provides an impact assessment framework for evaluating small and medium enterprise (SME) finance policies. It discusses why impact evaluations are important for assessing SME policies and programs. The framework covers both experimental and non-experimental evaluation methods that can be used, including randomized control trials, difference-in-differences, instrumental variables, regression discontinuity, and propensity score matching. It provides examples of evaluations using these various methods and discusses operational considerations like budget, timing, and choosing the appropriate method. The goal is to help policymakers assess and improve SME interventions to maximize their effectiveness.
Social Impact Measurement Among Canadian Impact InvestorsPurpose Capital
This document discusses social impact measurement among Canadian impact investors. It aims to determine investors' knowledge and use of social impact metrics in investment decisions. Key findings include that investors vary in their motivations from optimizing financial returns to optimizing social impact. Investors use metrics differently depending on the investment lifecycle stage, favoring qualitative data for due diligence and outcome metrics for monitoring. However, few have the ability to collect outcome data. The challenges of standardization and isolating a venture's impact are also discussed.
From Strategy to Practice: The Tonle Sap InitiativeOlivier Serrat
Consumptive use of the Tonle Sap's natural capital is intense. The Tonle Sap Basin Strategy promotes an approach that conserves nature and offers the promise of sustainable development. Informed by principles that fix attention to sustainable livelihoods, social justice, and a basin-wide approach, the development objectives are to foster, promote, and facilitate pro-poor, sustainable economic growth; access to assets; and management of natural resources and the environment.
Social Impact Measurement Use Among Canadian Impact InvestorsPurpose Capital
Canadian impact investors vary in their use of social impact metrics. While most investors use metrics during due diligence to select investments aligned with their goals, few are able to collect outcome data and rely primarily on output metrics. Investors also differ in the scale of analysis, with most monitoring at the individual investment level and few at the portfolio level. There is no single preferred measurement framework, but tools include theories of change, GIIRS, IRIS, and customized systems. Investors see value in metrics but face challenges regarding comparability, standardization, and costs. Recommendations focus on collaboration to reduce costs and enhance understanding and use of metrics.
Principios de inversion sostenible unepcolombiaclub
The document summarizes the Principles for Responsible Investment (PRI), a United Nations-supported international network of investors working together to implement six aspirational principles for incorporating environmental, social and corporate governance issues into investment practice. The six principles cover incorporating ESG issues into investment analysis, decision-making and ownership practices; seeking appropriate ESG disclosure by investee companies; promoting acceptance of the principles within the investment industry; working together to enhance effectiveness; reporting on activities and progress; and implementing the principles consistent with fiduciary responsibilities. The PRI provide a framework to help investors consider long-term issues and improve risk-adjusted returns. Over $80 trillion has been committed to the principles by signatories representing a major advance for mainstreaming
Good Measures: The Case for Quantification in Impact InvestmentPabloVerra
1) Impact measurement and management is important for impact investors to understand their social and environmental performance, improve investment decisions, and avoid "impact washing".
2) There have been several developments in impact measurement standards and tools over the past decade, including the IRIS catalog of metrics, the Operating Principles for Impact Investing, and the DELTA and AIMM frameworks.
3) Recent frameworks like IRIS+ and methods like those from inFocus aim to increase standardization, comparability, and practical guidance for impact investors in how to define goals, select metrics, and manage performance.
Guidebook for Impact Investors: Impact MeasurementPurpose Capital
Purpose Capital recently published Guidebook for Impact Investors: Impact Measurement, a guidebook for impact investors to help them enhance their use of social metrics.
The guide provides investors with with:
- A basic overview of social metrics for impact investing
- An outline of the issues and challenges of social impact measurement
-A summary of existing social impact measurement tools and a description of how they are being used
-A set of diagnostic tools to help you think through key questions and issues related to measurement and to select appropriate social impact metrics based on selected goals
For more information, visit: http://www.purposecap.com/portfolio/guidebook-for-impact-investors-impact-measurement/
The document summarizes a review of progress made in implementing commitments under the International Health Partnership (IHP+), including:
1) Partners have taken initial actions towards IHP+ goals but it is too early to assess long-term impacts. Coordination is increasing but cooperation and collaboration need more work.
2) Country compacts are being developed but need to balance specificity and inclusiveness. Financing expectations may not be met given challenges in increasing funding.
3) Institutional reforms are needed within partner organizations to change incentives and empower staff to work differently. Civil society engagement also needs strengthening.
This document provides an impact assessment framework for evaluating small and medium enterprise (SME) finance policies. It discusses why impact evaluations are important for assessing SME policies and programs. The framework covers both experimental and non-experimental evaluation methods that can be used, including randomized control trials, difference-in-differences, instrumental variables, regression discontinuity, and propensity score matching. It provides examples of evaluations using these various methods and discusses operational considerations like budget, timing, and choosing the appropriate method. The goal is to help policymakers assess and improve SME interventions to maximize their effectiveness.
Social Impact Measurement Among Canadian Impact InvestorsPurpose Capital
This document discusses social impact measurement among Canadian impact investors. It aims to determine investors' knowledge and use of social impact metrics in investment decisions. Key findings include that investors vary in their motivations from optimizing financial returns to optimizing social impact. Investors use metrics differently depending on the investment lifecycle stage, favoring qualitative data for due diligence and outcome metrics for monitoring. However, few have the ability to collect outcome data. The challenges of standardization and isolating a venture's impact are also discussed.
From Strategy to Practice: The Tonle Sap InitiativeOlivier Serrat
Consumptive use of the Tonle Sap's natural capital is intense. The Tonle Sap Basin Strategy promotes an approach that conserves nature and offers the promise of sustainable development. Informed by principles that fix attention to sustainable livelihoods, social justice, and a basin-wide approach, the development objectives are to foster, promote, and facilitate pro-poor, sustainable economic growth; access to assets; and management of natural resources and the environment.
Social Impact Measurement Use Among Canadian Impact InvestorsPurpose Capital
Canadian impact investors vary in their use of social impact metrics. While most investors use metrics during due diligence to select investments aligned with their goals, few are able to collect outcome data and rely primarily on output metrics. Investors also differ in the scale of analysis, with most monitoring at the individual investment level and few at the portfolio level. There is no single preferred measurement framework, but tools include theories of change, GIIRS, IRIS, and customized systems. Investors see value in metrics but face challenges regarding comparability, standardization, and costs. Recommendations focus on collaboration to reduce costs and enhance understanding and use of metrics.
Principios de inversion sostenible unepcolombiaclub
The document summarizes the Principles for Responsible Investment (PRI), a United Nations-supported international network of investors working together to implement six aspirational principles for incorporating environmental, social and corporate governance issues into investment practice. The six principles cover incorporating ESG issues into investment analysis, decision-making and ownership practices; seeking appropriate ESG disclosure by investee companies; promoting acceptance of the principles within the investment industry; working together to enhance effectiveness; reporting on activities and progress; and implementing the principles consistent with fiduciary responsibilities. The PRI provide a framework to help investors consider long-term issues and improve risk-adjusted returns. Over $80 trillion has been committed to the principles by signatories representing a major advance for mainstreaming
The document presents an initial screening for an equality impact assessment of a new Financial Inclusion Strategy. The strategy aims to promote financial inclusion among town residents through partnership working and building on previous work. It also aims to establish a baseline on the costs of financial exclusion, map current financial initiatives, and provide advice and prevention activities for those at risk of financial exclusion. The screening found the strategy could potentially benefit vulnerable groups like young adults, council tenants, the homeless, those on low incomes or benefits, and those suffering from fuel poverty or deprivation. No adverse impacts were identified for any groups.
Financing Capital Investment Planning (Capital Budget) of Local GovernmentRavikant Joshi
PPT presented in Training of Trainers Workshops on Strengthening The Financial Foundation of Local Government Based on Local Government Financial Management Series of UN-HABITAT during June 4- 15 2007 - Nadi, Fiji
Jim Clifford is the Head of Non-Profit Advisory Services at Baker Tilly. He has authored several studies on social impact and helped develop methodologies to assess social impact. Understanding social impact is important for non-profits to influence stakeholders, manage funding, and measure outcomes. Common frameworks for measuring impact include SROI, GRI, and evaluating performance. Social impact data can be used internally to improve projects and externally to influence funders and partners. New social finance models like social impact bonds link funding to impact by tying payments to results.
Evaluating Financial Condition of Local GovernmentsRavikant Joshi
PPT presented in Strengthening Training of Trainers Workshops on The Financial Foundation of Local Government Based on Local Government Financial Management Series of UN-HABITAT during June 4- 15 2007 - Nadi, Fiji
The document discusses social impact bonds (SIBs) as a way to raise investment for preventative social services. A SIB is a contract between public commissioners and investors where the commissioner commits to pay for improved social outcomes that yield cost savings. Investors provide upfront capital for interventions, and receive a financial return based on the degree of improved outcomes. The document outlines the first SIB pilot in the UK focusing on reducing recidivism among short-term prisoners leaving Peterborough prison through social reintegration services.
Strategic Planning & your Duty to Cooperate (Councillors)PAS_Team
This document discusses strategic planning and the duty to cooperate between local authorities. It provides context on the legal requirements for councils and public bodies to engage constructively on strategic issues that cross boundaries. It outlines examples of new models for strategic cooperation that are emerging, such as strategic planning frameworks led by local authorities and local enterprise partnerships, and combined authorities. The document also shares lessons learned from local plan examinations, emphasizing the need for ongoing and collaborative working to effectively address strategic priorities.
Sustainable Financing: The Equator Principles and the Financing of Water and ...CPWF Mekong
By Ian Mathews, Regional Head, Project & Structured Finance Australia and New Zealand Banking Group Ltd
Presented at the Mekong Forum on Water, Food and Energy
Phnom Penh, Cambodia
December 7-9, 2011
Session 7: Financing and Revenue Management in water and energy resources development
Non-profits in the U.S. generate over $1 trillion in annual revenue and $2.4 trillion in total assets. As fiduciaries, boards of non-profits must effectively oversee endowment investments to support the organization's mission over the long term. Key considerations include setting an appropriate spending policy, asset allocation, and risk management to balance intergenerational equity and stability of support. Effective endowment management requires defining goals and responsibilities as well as monitoring performance, costs, and potential risks.
Presentation titled, 'Improving Public Investment Management in the Caribbean,' delivered by Dr. Wendell Samuel, CARTAC Center Coordinator at the Conference, 'Project Cycle Management Conference - A Cornerstone of Implementation and Delivery,' September 2019 in St. George's Grenada.
Financial and Operating Plan - A Tool for Strategic Municipal Investment and ...Ravikant Joshi
This PPT delivered in a course organised by Administrative Staff College of India - Hyderabad explains Financial and Operating Plan and how to prepare it and used it as a tool for strategic municipal investment and financial planning
The document discusses how to create budgets for grant writing, including defining a budget, the benefits of budgets, budget planning issues, types of budgets, budget elements, general budget components, evaluating financial health, and creating a strategic budget plan to identify funding gaps and sources. It provides guidance on the key components to include in an organizational or project budget.
This document discusses public policy formulation. It begins with defining policy and outlining the policy formulation process. This includes initiating a policy, forming a task force, diagnosing the situation, drafting the policy, obtaining approval, implementing, and monitoring/evaluating. Key features of a good policy are also described such as legal validity, consistency, feasibility, resources, and social acceptance. The document then discusses Pakistan's experience with policy formulation, noting both successes and weaknesses such as procedural issues, institutional overstepping, lack of evaluation, and inadequate implementation. It concludes by emphasizing the importance of studying existing policies and political party platforms when developing new policies.
Presented by Dr. Nelson Gitonga, Insight Health Advisor, Kenya during Regional AIDS Training Network (RATN) 12th General Council Meeting held in Mombasa, Kenya from 24th - 29th June 2013
Financial Policy Making for Local GovernmentRavikant Joshi
PPT presented in Strengthening Training of Trainers Workshops on The Financial Foundation of Local Government Based on Local Government Financial Management Series of UN-HABITAT during June 4- 15 2007 - Nadi, Fiji
Financing Operating Budget of Local GovernmentRavikant Joshi
This document provides an overview of a training workshop on financing the operating budgets of local governments. It discusses key concepts related to financial policy making, citizen participation, evaluating financial conditions, operating budgets, asset management, and other topics. It also outlines the classification system for government revenues established by the International Monetary Fund. Various types of local government revenues are described, along with the goals, evaluation, and typical sources of revenues. Methods of short-term financing, cash budgeting, disbursement techniques, revenue surveys, sample policies, benefits and obstacles of cash management are also summarized.
Social impact bonds are a new financing model that could accelerate social innovation and improve government performance. Under this model, private investors provide upfront capital to social service organizations to deliver services meeting pre-defined outcomes. The government only pays investors if the program achieves success metrics like reducing recidivism. This focuses funding on results rather than inputs, speeds adoption of proven solutions, and transfers risk of failure to investors, not taxpayers. However, challenges include identifying interventions with sufficiently large benefits, measurable outcomes, well-defined populations, credible impact assessments, and contingency plans if performance falls short.
Funding options for social initiatives - A joint presentation by Social Capital Partners, Enterprising Nonprofits, Potluck Cafe, and Developmental Disabilities Association
Sustainable Development Goals and Development Impact Bonds Taruna Gupta
Development Impact Bonds (DIBs) are a new financing mechanism that ties funding to measurable social outcomes. Private investors provide upfront capital for social programs, which service providers implement. An independent evaluator measures the program's success. If the program achieves agreed-upon outcomes, outcome funders like donors repay investors based on results, otherwise investors may lose their capital. DIBs aim to improve social programs by focusing on results, transferring risk from the public to private sector, and attracting private funding for development. However, DIBs also face challenges like changing mindsets to see development as an investment, concerns about increasing bureaucracy, and ensuring proper risk management. Key lessons indicate initial investors will seek social returns, strong risk mit
This document discusses the role and concepts of corporate social responsibility (CSR). It defines CSR as a company's commitment to operate ethically and contribute to sustainable development. The summary is:
CSR involves companies treating stakeholders responsibly, contributing to communities, and considering environmental impacts. It emphasizes obligations beyond legal compliance and profit-making. Effective CSR requires identifying issues, planning projects with targets, implementing through partnerships, and monitoring and evaluating impacts. Associations can help companies implement CSR by identifying local needs and monitoring projects.
This document discusses the role and concepts of corporate social responsibility (CSR). It defines CSR as a company's commitment to operate ethically and contribute to sustainable development. The summary is:
CSR involves companies treating stakeholders responsibly, considering the impact of their actions on society, employees, communities and the environment. It emphasizes obligations beyond legal compliance and profit-making to include ethical, philanthropic and environmental responsibilities. Effective CSR requires identifying issues, planning projects with targets, implementing and monitoring in collaboration with communities and specialized organizations.
The document presents an initial screening for an equality impact assessment of a new Financial Inclusion Strategy. The strategy aims to promote financial inclusion among town residents through partnership working and building on previous work. It also aims to establish a baseline on the costs of financial exclusion, map current financial initiatives, and provide advice and prevention activities for those at risk of financial exclusion. The screening found the strategy could potentially benefit vulnerable groups like young adults, council tenants, the homeless, those on low incomes or benefits, and those suffering from fuel poverty or deprivation. No adverse impacts were identified for any groups.
Financing Capital Investment Planning (Capital Budget) of Local GovernmentRavikant Joshi
PPT presented in Training of Trainers Workshops on Strengthening The Financial Foundation of Local Government Based on Local Government Financial Management Series of UN-HABITAT during June 4- 15 2007 - Nadi, Fiji
Jim Clifford is the Head of Non-Profit Advisory Services at Baker Tilly. He has authored several studies on social impact and helped develop methodologies to assess social impact. Understanding social impact is important for non-profits to influence stakeholders, manage funding, and measure outcomes. Common frameworks for measuring impact include SROI, GRI, and evaluating performance. Social impact data can be used internally to improve projects and externally to influence funders and partners. New social finance models like social impact bonds link funding to impact by tying payments to results.
Evaluating Financial Condition of Local GovernmentsRavikant Joshi
PPT presented in Strengthening Training of Trainers Workshops on The Financial Foundation of Local Government Based on Local Government Financial Management Series of UN-HABITAT during June 4- 15 2007 - Nadi, Fiji
The document discusses social impact bonds (SIBs) as a way to raise investment for preventative social services. A SIB is a contract between public commissioners and investors where the commissioner commits to pay for improved social outcomes that yield cost savings. Investors provide upfront capital for interventions, and receive a financial return based on the degree of improved outcomes. The document outlines the first SIB pilot in the UK focusing on reducing recidivism among short-term prisoners leaving Peterborough prison through social reintegration services.
Strategic Planning & your Duty to Cooperate (Councillors)PAS_Team
This document discusses strategic planning and the duty to cooperate between local authorities. It provides context on the legal requirements for councils and public bodies to engage constructively on strategic issues that cross boundaries. It outlines examples of new models for strategic cooperation that are emerging, such as strategic planning frameworks led by local authorities and local enterprise partnerships, and combined authorities. The document also shares lessons learned from local plan examinations, emphasizing the need for ongoing and collaborative working to effectively address strategic priorities.
Sustainable Financing: The Equator Principles and the Financing of Water and ...CPWF Mekong
By Ian Mathews, Regional Head, Project & Structured Finance Australia and New Zealand Banking Group Ltd
Presented at the Mekong Forum on Water, Food and Energy
Phnom Penh, Cambodia
December 7-9, 2011
Session 7: Financing and Revenue Management in water and energy resources development
Non-profits in the U.S. generate over $1 trillion in annual revenue and $2.4 trillion in total assets. As fiduciaries, boards of non-profits must effectively oversee endowment investments to support the organization's mission over the long term. Key considerations include setting an appropriate spending policy, asset allocation, and risk management to balance intergenerational equity and stability of support. Effective endowment management requires defining goals and responsibilities as well as monitoring performance, costs, and potential risks.
Presentation titled, 'Improving Public Investment Management in the Caribbean,' delivered by Dr. Wendell Samuel, CARTAC Center Coordinator at the Conference, 'Project Cycle Management Conference - A Cornerstone of Implementation and Delivery,' September 2019 in St. George's Grenada.
Financial and Operating Plan - A Tool for Strategic Municipal Investment and ...Ravikant Joshi
This PPT delivered in a course organised by Administrative Staff College of India - Hyderabad explains Financial and Operating Plan and how to prepare it and used it as a tool for strategic municipal investment and financial planning
The document discusses how to create budgets for grant writing, including defining a budget, the benefits of budgets, budget planning issues, types of budgets, budget elements, general budget components, evaluating financial health, and creating a strategic budget plan to identify funding gaps and sources. It provides guidance on the key components to include in an organizational or project budget.
This document discusses public policy formulation. It begins with defining policy and outlining the policy formulation process. This includes initiating a policy, forming a task force, diagnosing the situation, drafting the policy, obtaining approval, implementing, and monitoring/evaluating. Key features of a good policy are also described such as legal validity, consistency, feasibility, resources, and social acceptance. The document then discusses Pakistan's experience with policy formulation, noting both successes and weaknesses such as procedural issues, institutional overstepping, lack of evaluation, and inadequate implementation. It concludes by emphasizing the importance of studying existing policies and political party platforms when developing new policies.
Presented by Dr. Nelson Gitonga, Insight Health Advisor, Kenya during Regional AIDS Training Network (RATN) 12th General Council Meeting held in Mombasa, Kenya from 24th - 29th June 2013
Financial Policy Making for Local GovernmentRavikant Joshi
PPT presented in Strengthening Training of Trainers Workshops on The Financial Foundation of Local Government Based on Local Government Financial Management Series of UN-HABITAT during June 4- 15 2007 - Nadi, Fiji
Financing Operating Budget of Local GovernmentRavikant Joshi
This document provides an overview of a training workshop on financing the operating budgets of local governments. It discusses key concepts related to financial policy making, citizen participation, evaluating financial conditions, operating budgets, asset management, and other topics. It also outlines the classification system for government revenues established by the International Monetary Fund. Various types of local government revenues are described, along with the goals, evaluation, and typical sources of revenues. Methods of short-term financing, cash budgeting, disbursement techniques, revenue surveys, sample policies, benefits and obstacles of cash management are also summarized.
Social impact bonds are a new financing model that could accelerate social innovation and improve government performance. Under this model, private investors provide upfront capital to social service organizations to deliver services meeting pre-defined outcomes. The government only pays investors if the program achieves success metrics like reducing recidivism. This focuses funding on results rather than inputs, speeds adoption of proven solutions, and transfers risk of failure to investors, not taxpayers. However, challenges include identifying interventions with sufficiently large benefits, measurable outcomes, well-defined populations, credible impact assessments, and contingency plans if performance falls short.
Funding options for social initiatives - A joint presentation by Social Capital Partners, Enterprising Nonprofits, Potluck Cafe, and Developmental Disabilities Association
Sustainable Development Goals and Development Impact Bonds Taruna Gupta
Development Impact Bonds (DIBs) are a new financing mechanism that ties funding to measurable social outcomes. Private investors provide upfront capital for social programs, which service providers implement. An independent evaluator measures the program's success. If the program achieves agreed-upon outcomes, outcome funders like donors repay investors based on results, otherwise investors may lose their capital. DIBs aim to improve social programs by focusing on results, transferring risk from the public to private sector, and attracting private funding for development. However, DIBs also face challenges like changing mindsets to see development as an investment, concerns about increasing bureaucracy, and ensuring proper risk management. Key lessons indicate initial investors will seek social returns, strong risk mit
This document discusses the role and concepts of corporate social responsibility (CSR). It defines CSR as a company's commitment to operate ethically and contribute to sustainable development. The summary is:
CSR involves companies treating stakeholders responsibly, contributing to communities, and considering environmental impacts. It emphasizes obligations beyond legal compliance and profit-making. Effective CSR requires identifying issues, planning projects with targets, implementing through partnerships, and monitoring and evaluating impacts. Associations can help companies implement CSR by identifying local needs and monitoring projects.
This document discusses the role and concepts of corporate social responsibility (CSR). It defines CSR as a company's commitment to operate ethically and contribute to sustainable development. The summary is:
CSR involves companies treating stakeholders responsibly, considering the impact of their actions on society, employees, communities and the environment. It emphasizes obligations beyond legal compliance and profit-making to include ethical, philanthropic and environmental responsibilities. Effective CSR requires identifying issues, planning projects with targets, implementing and monitoring in collaboration with communities and specialized organizations.
The document discusses the role and concepts of corporate social responsibility (CSR). It defines CSR and outlines the responsibilities of different types of organizations. It discusses key CSR issues, strategies, and implementation approaches including establishing long-term CSR plans, identifying thrust areas, selecting specialist agencies for activities, allocating budgets, and monitoring impact. It emphasizes the importance of CSR activities being strategically integrated with business operations and addressing social and environmental concerns of local communities.
USAID Cooperation for Growth Project (USAID CFG) is looking for ideas and methodologies that will improve the capacity of SMEs to articulate their specific needs and advocate for solutions. Find more details in the document.
The document discusses social impact bonds (SIBs) as a potential resource raising instrument for Oxfam America. It defines SIBs as investments in social service projects that are expected to generate cost savings for public agencies. Investors receive repayments based on whether intended social impacts and cost efficiencies are achieved. The document analyzes the incentives for different parties involved in SIBs, including guarantors like development agencies who leverage private investment for social objectives, states who oversee implementation strategies aligned with their goals, and impact investors seeking social and financial returns.
This article takes an in-depth look at the essence of impact investing, its key principles, notable strategies, real-world examples, and the evolving role it plays in driving systemic change.
Fair Finance Asia - Recommendations to the G20 JapanNirnita Talukdar
As the G20 Summit commences in Osaka today, Fair Finance Asia (a regional network of civil society organisations in Asia) calls on the G20 to strengthen its leadership and actions in implementing socially and environmentally sustainable finance and responsible investments.
In line with the Civil 20 (C20) policy recommendations submitted to the leaders of the G20 in April this year, Fair Finance Asia (FFA) urges the leaders of these countries to boost policies and regulations, and bolster quality investments in a way that addresses climate change, helps achieve the Sustainable Development Goals (SDGs) and inclusive economic development, and promotes human rights for all.
Demand for evaluation services is growing in the impact investing industry. Yet, much of the evaluation community remains unaware of the industry and its performance assessment requirements. This paper proposes five channels, or doorways, through which professional evaluators can learn about and engage with the field of impact investing.
Demand for evaluation services is growing in the impact investing industry. Yet, much of the evaluation community remains unaware of the industry and its performance assessment requirements. This paper proposes five channels, or doorways, through which professional evaluators can learn about and engage with the field of impact investing.
This document is a project report submitted by Hitesh M. Vekhande for their Master of Commerce degree. The report is on the topic of disinvestment strategy. It includes sections on definitions of disinvestment, objectives of disinvestment, importance of disinvestment, benefits of disinvestment, historical perspectives on disinvestment, current government policy on disinvestment and public sector, disinvestment strategy, the disinvestment process, case studies, and conclusions and recommendations. The document provides an overview and outline of the topics that will be discussed in the full project report on India's disinvestment strategy.
The international context for impact measurement in impact investing is growing. Impact investment aims to generate both social/environmental impact and financial returns. Effective impact measurement is critical for the success of impact investing by providing a consistent approach for comparing investments and identifying the most impactful interventions. This report explores impact measurement frameworks from the perspectives of investors and investees. It analyzes nine existing approaches against characteristics like being cost-effective, well-recognized, clear and easily implementable. The goal is to advance the discussion on developing a shared impact measurement approach to further unlock private capital for public good.
The document discusses the potential opportunities for hedge funds in impact investing. It defines impact investing as intentionally allocating capital to generate both social/environmental impacts that are measured. While impact investing is still small, institutional and individual investors are increasing commitments annually. The document outlines key considerations for hedge funds considering impact investing, such as defining meaningful impact measures, achieving comparable financial performance to benchmarks, and ensuring fiduciary compliance. It argues that as demand for ESG strategies is growing, impact investing may represent an untapped source of alpha for early adopting hedge funds.
How can regulation keep up as transformation races ahead? 2022 Global regulat...DESMOND YUEN
As the pandemic drags into its third year, financial services firms face a range of challenges, from increased operational complexity and an evolving regulatory directive to address environmental and social issues to new forms of competition
and evolving technologies, such as digital assets and cryptocurrencies. Banks, insurers, asset managers and other financial services firms (collectively referred to as “firms” in
the rest of this document) must innovate more effectively — and rapidly — to keep up with the pace of change while still identifying emerging risks and building appropriate governance and controls.
The document discusses social impact bonds (SIBs), which are a new type of performance-based investment for financing social programs. SIBs work by private investors funding social service programs upfront, and the government only repaying investors if the programs achieve pre-agreed outcomes that save the government money. The key differences between SIBs and traditional bonds are that SIB returns are based on project performance, not fixed, and involve higher risk. SIBs benefit communities by funding new programs, investors by creating profitable programs, and governments by increasing efficiency and saving money long-term.
Alessandro Cortese - Business planning in associations, a theoretical approac...visitbrussels
This document discusses business planning for non-profit organizations like ESTRO. It emphasizes the importance of linking strategic planning to the business model and developing multi-year and annual plans. Key points include:
- Developing a vision, mission, strategy and linking these to the business model's components like value proposition, key activities, and revenue streams.
- Translating the vision into measurable 3-year KPIs to guide the strategic plan.
- Creating dynamic financial plans that allow testing scenarios and measuring the impact of strategic choices on revenues and costs.
- Budgeting should be based on historical data but also factor in assumptions about growth, activities, indirect costs, and negotiations.
- The resulting financial planning tool starts
Social Cost Benefit Analysis (SCBA) evaluates whether a proposed project will benefit or cost society. It considers factors like employment, income distribution, savings and investment, externalities, and taxes. The UNIDO approach is a 5-stage methodology for conducting SCBA, analyzing financial profitability, economic efficiency, impact on savings and income distribution, and the difference between social and economic values. Opportunity cost is the cost of the next best alternative forgone. Capital structure refers to how a firm finances its operations through various sources of funds like debt and equity.
Communique g20 japan fukuoka finance minister crypto asset benefitRein Mahatma
Technological innovations, including those underlying crypto-assets, can deliver significant benefits to the financial system and the broader economy - G20 Finance Minister abd cebtrak Vabj Governor Meeting Fukuoka Japan June 8-9 2019
Other NGOs such as Dustho Shasthya Kendro (DSK), Nijera Kori, ASA etc should give an positive steps to follow BRAC, Grammen Bank and Gono Shasthya Kendro (GSK) to develop social business in order to earn fund in collaboration of overseas investors who consider the impact of their investment and profit. The local NGOs should change their mind and reform themselves to attract overseas investments.
Similar to Positive impact principles unepfi enero 2017 (20)
This document discusses social responsible investment and the Sustainable Development Goals (SDGs) set by the United Nations. It notes that SRI aims for both financial returns and positive social/environmental impact, assessed using both financial and ESG analysis. Several SRI strategies are mentioned, including best-in-class, engagement, ESG integration and impact investing. Specific SRI funds focused on the SDGs of reducing poverty, ending hunger, clean water/sanitation, gender equality and clean energy are highlighted. Institutional investors are increasingly taking the SDGs into account. The document concludes that transparency and social awareness of the SDGs provides hope.
This document discusses social responsible investment and sustainable development goals (SDGs) based investing. It presents a new paradigm of achieving both financial returns as well as positive environmental, social and governance (ESG) impacts. Various SRI strategies are mentioned like best-in-class, engagement and exclusion approaches. Specific SDGs around areas like no poverty, zero hunger, gender equality, clean water and sanitation, affordable energy and economic growth are highlighted. Institutional investors are increasingly taking the SDGs into account in their investments in regions like Europe, USA, UK and Australia. The document expresses hope that transparency and social awareness around these issues will continue growing.
The High-Level Expert Group on Sustainable Finance was established by the European Commission to develop recommendations for integrating sustainability into the EU's financial policy framework and accelerating the flow of capital towards sustainable development objectives. In this final report, the Group provides a comprehensive set of recommendations across the financial system. Key recommendations include establishing an EU taxonomy to define sustainable investment areas, clarifying investor duties to consider long-term environmental and social factors, upgrading disclosure rules around sustainability risks and opportunities, and developing sustainability standards and labels for financial products. The report aims to guide the European Commission's upcoming action plan on sustainable finance and help transition Europe's financial system to better support long-term sustainable growth.
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Innovation Management Frameworks: Your Guide to Creativity & Innovation
Positive impact principles unepfi enero 2017
1. TH E PRIN CIPLE S F OR
POSITIVE IMPACT FINANCE
A COMMON FRAMEWORK TO FINANCE THE
SUSTAINABLE DEVELOPMENT GOALS
IMPACT
2. The Principles for Positive Impact Finance 1
BACKGROUND
In September 2015, the UN General Assembly formally
established 17 Sustainable Development Goals (SDGs)
to be addressed by 2030, thus providing a common
framework for public and private stakeholders to set
their agendas and define their policies and strategies over
the next 15 years.
An estimated $5-7 trillion a year until 2030 are needed to
realize the SDGs worldwide, including investments into
infrastructure, clean energy, water and sanitation and
agriculture.
Blended finance, venture capital, impact investing, crowd
funding and environmentally or socially oriented market
instruments such as green bonds are among a range of
mechanisms designed to bridge the gap, but none of the
current approaches seem sufficient to reach the neces-
sary scale.
While the urgency of meeting this challenge is becoming
ever more tangible, and despite the general consensus
on the need for collaboration between the public sector,
the private sector and other stakeholders, making the
connection between needs, business models and funds
remains difficult.
In October 2015 UN Environment Finance Initiative’s
(the Finance Initiative) banking and investment members
released the Positive Impact Manifesto, which calls for a
new financing paradigm. As per the Manifesto, bridging
the funding gap for sustainable development and the
attainment of the SDGs requires a new, impact-based
approach, based on a holistic consideration of the three
pillars of sustainable development.
The development of a dedicated set of Principles for
Positive Impact Finance to guide financiers and inves-
tors in their efforts to increase their positive impact on
the economy, society and the environment, constitutes
a central component of the Positive Impact Roadmap
outlined in the Manifesto.
By providing a common language to the finance commu-
nity and for a broader set of stakeholders, the Principles
are expected to constitute an important step in unlocking
the SDGs opportunity and overcoming the funding gap
for sustainable development.
PURPOSE OF THE PRINCIPLES FOR POSITIVE IMPACT FINANCE
The Principles for Positive Impact Finance are a set
of guidelines for:
◾◾ financiers to identify, promote and communicate
about Positive Impact Finance across their portfolios;
◾◾ investors and donors to holistically evaluate the
impacts of their investments and orient their invest-
ment choices and engagements accordingly;
◾◾ auditors and raters to provide financiers, investors and
their stakeholders with the verification, certification
and rating services needed to promote the develop-
ment of Positive Impact Finance.
The Principles are also intended to help:
◾◾ corporates and other economic stakeholders
structure SDG-focused business opportunities and
business models, and identify financial institutions
capable of accompanying their efforts;
◾◾ governments to leverage their interventions with the
private sector (for instance by issuing impact-based
tenders and requests for proposals and choosing its
private sector implementation partners based on the
Principles) and adjusting public policies strategically
to maximise the leverage of public funds;
◾◾ civil society to identify and develop the kind of tech-
nical expertise that will be most helpful to the above
parties as they seek to establish new, impact based
business models.
The Principles are applicable to all forms of financial
institutions and financial instruments. By jointly consid-
ering the three pillars of sustainable development and
by basing themselves on an appraisal of both positive
and negative impacts, they propose a holistic approach
to sustainability issues.
In doing so the Principles build on and complement
valuable existing frameworks such as the Green Bond
Principles (instrument-specific), the Principles for
Responsible Investment (sector-specific), the Equator
Principles (risk focused), among others, to provide a
broad, common framework to achieve the financing of
sustainable development.
3. 2 UN Environment Finance Initiative
THE PRINCIPLES FOR
POSITIVE IMPACT FINANCE
PRINCIPLE ONE
Definition
Positive Impact Finance is that which serves to finance Positive Impact
Business.
It is that which serves to deliver a positive contribution to one or more
of the three pillars of sustainable development (economic, environmental
and social), once any potential negative impacts to any of the pillars have
been duly identified and mitigated.
By virtue of this holistic appraisal of sustainability issues, Positive Impact
Finance constitutes a direct response to the challenge of financing the
Sustainable Development Goals (SDGs).
Scope
◾◾ The Principles are intended to be applicable across all categories of financial instru-
ments and the business activities that underpin them, including but not limited to:
◽◽ Loans (corporate, retail, municipal, sovereign, inter-bank, project-related)
◽◽ Bonds
◽◽ Equity
◽◽ Mezzanine
◽◽ Notes and credit-linked-notes / obligations
◾◾ The Principles for Positive Impact Finance are not sector based.
Some sectors are in and of themselves carriers of positive impact but no sector is
devoid of potential negative impacts and most sectors arguably carry at least some posi-
tive impact for one of the three pillars of sustainable development.
For instance, a renewable energy project will have a high environmental positive impact
in terms of CO2 emissions, and it may have positive social impacts (access to energy)
and development impacts (jobs), but it can also carry negative impacts such as noise
pollution for nearby communities, and threats to birdlife. Conversely, the construction
of a road may have negative impacts such as the removal of biodiversity, the displace-
ment of people, and noise pollution from increased traffic, but it is also likely to deliver
positive impacts such as access, mobility, job creation and economic growth.
The Principles acknowledge the interconnectedness of sustainability issues and there-
fore base themselves on a global assessment of positive and negative impacts rather
than on the singling-out of sectors.
4. The Principles for Positive Impact Finance 3
PRINCIPLE TWO
Frameworks
To promote the delivery of Positive Impact Finance, entities (financial
or non financial) need adequate processes, methodologies, and tools,
to identify and monitor the positive impact of the activities, projects,
programmes, and/or entities to be financed or invested in.
Entities should, as applicable, depending on the type of financial instrument:
◾◾ Implement specific processes, criteria and methodologies to identify Positive Impact.
The analysis should cover activities, projects and programmes but also underlying
companies;
◾◾ Apply regular ESG risk management before determining Positive Impact eligibility;
◾◾ Implement specific processes, criteria and methodologies to monitor the achievement
of intended impacts throughout the life-time of the financial instrument.
Entities should also:
◾◾ Allocate and equip staff with relevant mandates and skill sets to enforce the above
processes;
◾◾ Seek second opinions and/or third-party assurances on the implementation of the
above processes as appropriate;
◾◾ Review and update processes as appropriate on an on-going basis.
Positive Impact analysis:
◾◾ Can be undertaken alongside existing procedures, for instance, at on-boarding and
during periodical reviews of products, project or clients;
◾◾ Can make use of existing and recognized tools, standards and initiatives where appli-
cable (for instance, in the case of project finance, the Equator Principles provide a
recognised risk management standard).
Specific case: Determining the positive impact of company’s activities, projects and
programs when only part of a company’s activities can be qualified as Positive Impact
Business.
Activities, projects and programs can be considered as in line with the Principles even
when the underlying entities’ overall activity are only partially in line (e.g. bond of a
utility company providing both coal-fired and renewable powered electricity). However,
the Positive Impact activity should be appropriately ring-fenced.
Ultimately, different financiers and investors will judge companies and their activities
differently. Some might exclude certain companies and all of their activities while others
might be willing to provide finance or invest in all or part of the company, depending
on their Positive Impact frameworks. The Principles do not prescribe which methodol-
ogies and KPIs to use to identify, analyse and verify positive impact, instead they require
that there be transparency and disclosure on both the assessment framework and its
conclusions (see Principle 3).
5. 4 UN Environment Finance Initiative
PRINCIPLE THREE
Transparency
Entities (financial or non financial) providing Positive Impact Finance
should provide transparency and disclosure on:
•• The activities, projects, programs, and/or entities financed considered
Positive Impact, the intended positive impacts thereof (as per Principle
1);
•• The processes they have in place to determine eligibility, and to moni-
tor and to verify impacts (as per Principle 2);
•• The impacts achieved by the activities, projects, programs, and/or enti-
ties financed (as per Principle 4).
Intended Impacts
The intended use of funds released via financial instruments and their intended positive
contribution should be clearly marked on the corresponding documentation.
Methodologies, KPIs and achieved impacts
The Principles do not prescribe which methodologies and KPIs to use to identify,
analyse and verify positive impact, they only require that these be disclosed and trans-
parent. Institutions require flexibility to develop their own approaches at their own pace
and in accordance with their own corporate culture and business strategy. Nonetheless,
positive impact frameworks as well as positive impact finance delivered may be assessed
by third parties (see Principle 4).
Reporting
It is recommended that entities report regularly on their Positive Impact activities and
business. This can be done in the context of the reporting tools already used by entities
to report on sustainability issues.
6. The Principles for Positive Impact Finance 5
PRINCIPLE FOUR
Assessment
The assessment of Positive Impact Finance delivered by entities (financial
or non financial), should be based on the actual impacts achieved.
The assessment of Positive Impact Finance can be internally processed, i.e. for internal
monitoring and evaluation purposes, or undertaken by qualified third parties (e.g. audit-
ing companies, research-providers and rating agencies), for certification and/or rating
purposes.
Criteria to rate Positive Impact Finance can include:
◾◾ Variety of positive impacts delivered;
◾◾ Magnitude of the impacts delivered;
◾◾ Scale of impacts delivered relative to amount of funds spent (i.e. efficiency of the
instrument);
◾◾ Degree of leverage of private funds relative to public funds and/or donations (i.e.
optimization of public funds and donations where applicable);
◾◾ Level of additionality (i.e. business and finance solutions that help address an unmet
or underserved sustainable development need and hence constitute a significant step
forward for the attainment of the SDGs).
Assessment of Positive Impact Frameworks
As per Principle 2, the delivery of Positive Impact Finance is reliant on the integration
of impact analysis in financial institutions’ existing business processes. These processes,
whereby positive impact is identified, analysed and managed, can be the object of
external assessments leading to certification by qualified third parties such as auditing
companies.
7. 6 UN Environment Finance Initiative
Q&A
How will the Principles help shift business and finance away from
harmful activity and contribute to creating more positive impact, as
opposed to just identifying and communicating existing impact?
The Finance Initiative and its Positive Impact Working Group believe in the appetite
of the financial market for Positive Impact Business and products. To be aligned with
their sustainability strategies and to avoid unsustainable business, financial institutions
will increasingly request their clients or the companies they invest in to be aligned with
sustainability objectives. The Principles are expected to become a means to obtain such
assurances and as a result to help create a shift in business, as Positive Impact Business
gains in attractiveness for financiers and investors.
Notwithstanding, while the Principles are indispensable to the development of a
Positive Impact market, they are insufficient by themselves to create it. That is why
the Roadmap outlined in the Positive Impact Manifesto also includes a focus on solu-
tion-building and business model development.
Without a clear exclusion list, is there a risk that activities that
could cause negative impacts be passed off as Positive Impact?
No. Principle 2 states that financing decisions and the deployment of financial instru-
ments should hinge on the enforcement of dedicated processes and methodologies
that take into account both positive and negative impacts. This means that information
about the methodologies, and criteria underpinning the decision-making processes of
entities claiming to deliver Positive Impact Finance will be made readily available to
stakeholders.
Moreover, Principle 3 states the requirement of transparency and disclosure. This
means that no funds can be certified as serving positive impact goals unless information
about the criteria, factors and methodologies underpinning the financial instrument is
made available to certifying entities.
In summary, the Principles provide the flexibility for market dynamics to develop while
at the same time they carry the necessary checks and balances to ensure that they serve
their end-goal and that is the bridging of the funding gap for sustainable development
and the attainment of the SDGs.
8. The Principles for Positive Impact Finance 7
Will the Principles make it possible to obtain a numerical picture
of financiers’, investor’s, and companies’ positive impact relative to
the rest of their activities – and vice versa?
The Principles will produce an overview of positive impact over time. The delivery
of Positive Impact Business and Finance necessarily involves the establishment of a
number of processes and mechanisms, which, coupled with Principle 3 on transparency
and disclosure, will over time make it possible to monitor and track businesses’, financi-
ers’ and investors’ performance.
Do the Principles imply that non-financial impacts such as social,
environmental and developmental impacts, should take precedence
over financial returns? Is Positive Impact Finance synonymous with
concessionary finance?
No. At the heart of the Positive Impact Manifesto lies the proposition that sustainability
objectives and the business constraints or risk and return need not be in opposition. It
is based on the view that society’s and the planet’s needs can be met within commercial
boundaries by developing new business models that are directly based on impacts and
thereby create efficiencies and reduce costs to beneficiaries.
This means that while some financing solutions delivered at concessionary rates or with
grant support might qualify as positive impact (especially when market growth potential
is properly assessed), Positive Impact Business and Finance is in no way synonymous
with concessionary finance and is not positioned in opposition with the quest for good
returns.
Do the transparency and disclosure requirements under Principle 3
constitute a contradiction with lenders’ and investors’ need to
retain a competitive advantage over their competitors?
No. Competitive advantages will be a function of the capacity and skills of businesses,
lenders and investors to develop and deliver new solutions, and to demonstrate their
success in achieving positive impact.
Moreover, increased transparency and disclosure should increase uptake by investors,
which means that more transparent players should be more competitive on the market.
9. 8 UN Environment Finance Initiative
Is there a risk that the cost of second opinions and third party
verifications defeat the business case for Positive Impact Finance?
No. The cost of second opinions and verifications relative to the scale of the business
opportunity targeted by the Principles implies that there should be no contradiction
between the two. Moreover, the greater the level of transparency and disclosure, the
more second opinions and third party verifications should be diminished.
What is the governance for the Principles?
The Principles were developed by the Positive Impact Working Group, a group of
UN Environment Finance Initiative banking and investment members, as the first key
step in the implementation of the roadmap outlined in the Positive Impact Manifesto.
The governance of the Principles and further work to be undertaken in fulfilment of
the Positive Impact Roadmap is to be established on a multi-stakeholder basis following
the launch of the Principles. Until then the Finance Initiative’s Positive Impact Working
Group provides the interim governance for the Principles and related work.
It is anticipated that adhesion to the Principles and involvement in implementation
and related work will be organised on a membership basis, open to institutions that
are actively developing Positive Impact Finance and enabling the participation of all
relevant stakeholders.
Who provides the Secretariat for the Principles and what is its role?
The Finance Initiative provides the Secretariat to the Principles and related work.
The responsibilities of the Secretariat include promoting the Principles and providing
guidance on their implementation, managing the governance of the Principles and,
going forward, coordinating the periodical review and update of the Principles.
The Secretariat is not to be a verification or certification body.
10. ABOUT THE PRINCIPLES FOR POSITIVE IMPACT FINANCE
The Principles were developed by the Positive Impact Working
Group, a group of UN Environment Finance Initiative banking
and investment members, as part of the implementation of the
roadmap outlined in the Positive Impact Manifesto released in
October 2015.
As at 1st January 2017, the Positive Impact Working Group
includes: Australian Ethical, Banco Itaú, BNP Paribas, BMCE
Bank of Africa, Caisse des Dépôts Group, Desjardins Group, First
Rand, Hermes Investment Management, ING, Mirova, NedBank,
Pax World, Piraeus Bank, SEB, Société Générale, Standard Bank,
Triodos Bank, Westpac and YES Bank.
Acknowledgements and appreciation is extended to the individ-
uals and institutions who kindly provided their time, insights
and recommendations in the course of the development of the
Principles.
ABOUT UN ENVIRONMENT FINANCE INITIATIVE
The UN Environment Finance Initiative is a partnership between
UN Environment and the global financial sector created in the
wake of the 1992 Earth Summit with a mission to promote sustain-
able finance. Over 200 financial institutions, including banks,
insurers and fund managers, work with UN Environment to under-
stand today’s environmental challenges, why they matter to finance,
and how to actively participate in addressing them.
FURTHER INFORMATION
unepfi.org/positive-impact
Careen Abb
e: careen.abb@unep.org
Elodie Feller
e: elodie.feller@unep.org
Elisa Vacherand
e: elisa.vacherand.affiliate@unep.org
www.unepfi.org UN Environment Finance Initiative
International Environment House
15 Chemin des Amenomes
CH-1219 Chatelaine
Geneva, Switzerland
info@unepfi.org
/UNEPFinanceInitiative
@UNEP_FI