An increasing number of fund managers are interested in impact investing. The latter differs from general investing in that investments are made with the intention of generating demonstrable positive social and/or environmental impact alongside financial returns.
BII is a signatory to the IFC Impact Management Principles, which describe the key building blocks for robust impact management systems.
One of the key features of impact investing is the focus on the measurement and reporting of the social and environmental performance of underlying investments. IRIS has developed an extensive database of standardised impact metrics, and multiple methodologies for measuring impact are emerging.
More information and tools for impact investing can be found on the Global Impact Investing Network (GIIN) website. The Impact Management Project also provides information on how to describe, measure and monitor impact.