Global Handbook of Impact Investing - Solving Global Problems Via Smarter Capital Markets Towards a More

Discover how to invest your capital to achieve a powerful, lasting impact on the world.
The Global Handbook of Impact Investing: Solving Global Problems Via Smarter Capital Markets Towards A More Sustainable Society is an insightful guide to the growing world-wide movement of Impact Investing. Impact investors seek to realize lasting, beneficial improvements in society by allocating capital to sources of impactful and sustainable profit.
 
This Handbook is a how-to guide for institutional investors, including family offices, foundations, endowments, governments, and international organizations, as well as academics, students, and everyday investors globally. The Handbook´s wide-ranging contributions from around the world make a powerful case for positive impact and profit to fund substantive, lasting solutions that solve critical problems across the world.
 
Edited by two experienced and distinguished professionals in the sustainable investing arena and authored by two dozen renowned experts from finance, academia, and multilateral organizations from around the world, the Global Handbook of Impact Investing educates, inspires, and spurs action towards more responsible investing across all asset classes, resulting in smarter capital markets, including how to:
 
* Realize positive impact and profit
 
* Integrate impact into investment decision-making and portfolio
 
* Allocate impactful investments across all asset classes
 
* Apply unique Impact Investing frameworks
 
* Measure, evaluate and report on impact
 
* Learn from case examples around the globe
 
* Pursue Best Practices in Impact Investing and impact reporting
 
While other resources may take a local or limited approach to the subject, this Handbook gathers global knowledge and results from public and private institutions spanning five continents. The authors also make a powerful case for the ability of Impact Investing to lead to substantive and lasting change that addresses critical problems across the world.

List of contents

Foreword by Justin Rockefeller xxxi
 
Acknowledgments xlv
 
About the Contributors xlvii
 
Acronyms and Abbreviations lxi
 
Introduction 1
 
Chapter 1 Impact Investing: Innovation or Rebranding? 9
Haifa Ben Abid, MPhil
 
Introduction 10
 
Methodology 11
 
Impact Investing: Clarifying the Concept 13
 
Types of Impact Investing: Financial-First versus Impact-First 15
 
Impact Investing: A Response to a Changing Investment Environment 18
 
Changing Demographics: Investment Practices Among Millennials 18
 
A Global, Multibillion-Dollar Market 20
 
Mechanisms for Institutionalization 21
 
Key Features of Impact Investing 22
 
Refining the "Good" Return: Financial and Social Considerations 24
 
Helping Investors "Walk the Walk": Aligning Mission, Values, and Investments 24
 
A Prudent Entrepreneurial Spirit: Experimentation and Mitigating Risks 25
 
Impact Investing: Leverage for Development? 25
 
Conclusion 28
 
References 29
 
Chapter 2 Investing for Impact: Socially Motivated Investors and Externalities 37
Raghavan Narayanan, MBA and Stoyan V. Tenev PhD
 
Introduction 38
 
A Conceptual Framework for Socially Motivated Investment Behavior 39
 
Typology of Socially Motivated Investors 43
 
Impact Investing 52
 
Conclusion 56
 
References 58
 
Chapter 3 Place-Based Impact Investing: Local and Regional Assets for Local and Regional Impact in Globally Diversified Portfolios 61
 
Introduction 62
 
Targeting Impact Through Place-Based Impact Investing 66
 
Constructing Institutional Place-Based Impact Investing Portfolios 71
 
The Bay Area Model Equity Strategy 74
 
The US Community Investing Index, by the F. B. Heron Foundation 77
 
Creating Investable Opportunities for Sustainable and Resilient Communities Through Inclusive Community Engagement 81
 
Capital Stacks: Financing Local and Regional Projects 88
 
Global Examples of Place-Based Impact Investing Success 93
 
Final Remarks and Key Conclusions 98
 
References 99
 
Chapter 4 How to Invest in Human Capital: Measuring and Integrating Human Capital Valuation to Realize Higher-Impact Portfolios 103
R. Paul Herman, BSci and Kirstin Dougall, MFA
 
Why Impact Investors Should Care About Human Capital Valuation 104
 
Methodology 105
 
Measuring the Contribution of Human Capital to Returns 106
 
Human Capital Valuation Methods 107
 
Investor Methods for Capturing Monetary HCV 109
 
The Heritage of Monetary Human Capital Valuation Methods 109
 
Investment Strategies Using Monetary HCV 110
 
Non-Monetary Human Capital Valuation for Impact Investors 111
 
Exemplary Ratings Systems That Feature Human Capital Valuation 111
 
Non-Monetary Human Capital Metrics That Impact Investors Can Use in Custom Analyses 112
 
Employee Participation 114
 
Incorporating Data from Human Resources Management Systems 115
 
Standards for Human Capital Valuation 115
 
Integrating Human Capital into the Investment Process 118
 
Examples of Human Capital Valuation Applied in Impact Investing 118
 
Examples: Monetary Human Capital Valuation in Action 119
 
Monetary HCV Example: Asian Company "BroadTek" Uses Human Capital Financial Statements to Calculate Returns on Workforce Investments 119
 
Monetary HCV Example: Global Technology Company Infosys Uses Present Value of Compensation Method to Calculate Returns on Workforce Investments 119
 
Example: Being a Global "Great Place to W

About the author

ELSA DE MORAIS SARMENTO is an Associate Researcher at NOVAFRICA at Nova Business School of Management and Economics. She co-edited The Emerald Handbook of Public Private Partnerships in Developing and Emerging Economies. R. PAUL HERMAN is CEO of HIP (Human Impact + Profit) Investor Ratings and Portfolios and has served as faculty at business schools around the world. He is author of The HIP Investor: Make Bigger Profits by Building a Better World.

Summary

Discover how to invest your capital to achieve a powerful, lasting impact on the world.
The Global Handbook of Impact Investing: Solving Global Problems Via Smarter Capital Markets Towards A More Sustainable Society is an insightful guide to the growing world-wide movement of Impact Investing. Impact investors seek to realize lasting, beneficial improvements in society by allocating capital to sources of impactful and sustainable profit.

This Handbook is a how-to guide for institutional investors, including family offices, foundations, endowments, governments, and international organizations, as well as academics, students, and everyday investors globally. The Handbook´s wide-ranging contributions from around the world make a powerful case for positive impact and profit to fund substantive, lasting solutions that solve critical problems across the world.

Edited by two experienced and distinguished professionals in the sustainable investing arena and authored by two dozen renowned experts from finance, academia, and multilateral organizations from around the world, the Global Handbook of Impact Investing educates, inspires, and spurs action towards more responsible investing across all asset classes, resulting in smarter capital markets, including how to:

* Realize positive impact and profit

* Integrate impact into investment decision-making and portfolio

* Allocate impactful investments across all asset classes

* Apply unique Impact Investing frameworks

* Measure, evaluate and report on impact

* Learn from case examples around the globe

* Pursue Best Practices in Impact Investing and impact reporting

While other resources may take a local or limited approach to the subject, this Handbook gathers global knowledge and results from public and private institutions spanning five continents. The authors also make a powerful case for the ability of Impact Investing to lead to substantive and lasting change that addresses critical problems across the world.

Product details

• Authors: E De Morais Sarme, Els De Morais Sarmento, Elsa De Morais Sarmento, Elsa Herman De Morais Sarmento, R Paul Herman, R. Paul Herman
• Assisted by: Els De Morais Sarmento (Editor), Elsa De Morais Sarmento (Editor), R. Paul Herman (Editor), Paul Herman (Editor), Paul Herman (Editor)
• Publisher: Wiley, John and Sons Ltd
• Languages: English
• Product format: Hardback
• Released: 31.12.2020
• EAN: 9781119690641
• ISBN: 978-1-119-69064-1
• No. of pages: 1328
• Subjects: Education and learning > Teaching preparation > Vocational needs; Social sciences, law, business > Business > Business administration; Kapitalanlage, Finance & Investments, Finanz- u. Anlagewesen, Kapitalanlagen u. Wertpapiere, Investments & Securities