Impact investing, says this new report from the Monitor Institute, ‘has the potential to complement philanthropy and government intervention as a potent force for addressing global challenges at scale’. The report looks at how it emerged and what challenges it will face (lack of efficient intermediation, of enabling infrastructure, of sufficient capacity to absorb capital among them) in trying to achieve this potential. It also attempts to lay down a blueprint for catalysing the industry, which includes the creation of industry-defining funds that set a pattern of how to address specific social or environmental issues; placing substantial risk-taking capital into catalytic finance structures; setting industry standards for social measurement; lobbying for specific policy/regulatory change; and developing an impact investing network.

Investing for Social and Environmental Impact: A design for catalysing an emerging industry

Monitor Institute