Impact investing set for prosperous 2016

Green energy1Investors plan to increase their ‘impact’ investments by 16% this year, and fund managers expect to nearly double capital raised.

The figures are part of the Global Impact Investing Network’s sixth annual Impact Investor Survey. The findings signal continued market growth, and an increasing interest in impact investing opportunities.

Impact investing refers to investments with social or environmental benefits.

Survey respondents committed a total of $15.2 billion (€13.5 billion) to impact investments in 2015, and plan to increase that total by 16% to $17.7 billion this year. Nearly 90% of respondents said their investments performed in line with their expectations, or exceeded them (19% reported outperformance).

Fund managers raised $6.7 billion for impact investing last year, and expect to raise $12.4 billion this year.

The most commonly targeted impact themes were improving access to finance for the poor, employment generation, and health improvement, followed by education and income growth and livelihood support.

The top targeted environmental impact themes were renewable energy, energy efficiency, and clean technology.

The survey gauged the opinions of 158 separate impact investing organisations, including fund managers, family offices, pension funds and insurance companies.

©2016 funds europe

Sponsored Profiles

SPONSORED FEATURE: Smarter than beta

Jun 14, 2017

‘Smart beta’ investing is rapidly becoming a popular alternative to both conventional passive management and traditional active management.

SPONSORED FEATURE: Smart beta: Unlocking key drivers of return

Jun 14, 2017

Manuela Sperandeo, iShares Head of Specialist Sales EMEA, tells Funds Europe how investors can leverage smart beta strategies to target numerous outcomes.

SPONSORED FEATURE: Minimum variance indices: Rewriting the rules

Jun 14, 2017

The FTSE Russell indices tracked by lyxor lead to fewer specific risks, fewer valuation and crowding issues and more consistent performance.

SPONSORED FEATURE: The reflationary environment

Jun 06, 2017

Funds Europe talks to Andreas Wosol about the implications of a return to reflation and why the value part of the European equity market could support investors in such an environment.

Executive Interviews

INTERVIEW: Finding managers that can (and do)

Apr 18, 2017

Fabrice Kremer, a fund selector at Banque de Luxembourg Investments, has berated fundamental managers for failing to beat indices, but he remains committed to active funds. He speaks to Nick...

JERSEY INTERVIEW: ‘A steady sort of place’

Mar 21, 2017

The chief executive of Jersey Finance is keen to portray the island as a stable, trustworthy jurisdiction. He talks to George Mitton.

Roundtables & Panels

TRENDING: Smart beta indices continue onward march

Jun 14, 2017

We asked five investment experts how smart beta indices have performed against cap-weighted indices over the past year and what the investment outlook suggests about the prospect for different investment factors.

SMART MONEY: Following the smart money

Jun 14, 2017

We asked six investment professionals about the emphasis they are placing on smart beta and active ETFs and how platforms are adopting these products.