We're Celebrating 10 Years of Impact Engine
What started as a small-but-mighty startup accelerator has transformed into a leading impact investing firm with $185 million in assets under management. And the field of impact investing has grown from a tiny niche that we needed to explain to people into a recognized strategy that even the biggest names on Wall Street are beginning to embrace.
"I always tell people, impact investing is just an extra dimension. It's not just risk/return. It's also impact," Chief Investment Officer Priya Parrish said in a recent podcast interview. "All holders of capital can invest this way, even with diverse needs and objectives."
Here's a snapshot of where we stand today:
Thanks for your support over the years. We're looking forward to the next decade of Impact Engine!
What We’re Reading
New York Times: Have the Anticapitalists Reached Harvard Business School?
Jessica Droste Yagan, CEO says: "It's so backwards to use the label 'anti-capitalist' for those tangibly working to improve capitalism. I would argue these are the pro-capitalists, pushing us toward an evolved, more sustainable capitalist system that will be more likely to last, and I would count myself among them."
Stanford Social Innovation Review: ESG Is Not Impact Investing and Impact Investing Is Not ESG
Ander Iruretagoyena, Vice President says: "The meteoric rise of our industry, impact investing, while great, has caused some confusion to newcomers and is often lumped into broader ESG (Environmental, Social, Governance) or SRI (Social Responsible Investing). This article does a great job in laying out the first step to understanding something: defining it. Without a clear definition it is far too easy to blame ESG for not being able to solve every problem in society. The title of this article says it best, ESG is not impact investing and impact investing is not ESG. The reader of the article should be careful to note that the author is simplifying for effect and point #6 is not always the case. Impact investing is still investing, and as such any investor seeking the best managers has to make sure that the impact manager is paying due attention to all ESG factors, especially the ones that most typically fall outside in the realm of “impact” ie. Governance. In my experience it is rare to find managers that do a great job on both.”
Portfolio news
Carbon Direct's expert guidance on high quality carbon dioxide removal was featured by the Carbon Removals at COP organization as part of this year's United Nations Climate Change Conference (COP27). Carbon Direct's white paper (PDF here), developed in coordination with Microsoft, examines methods ranging from direct air capture, to carbon mineralization, mangrove forestation and more. "Carbon Direct's breadth and depth of technical expertise have been invaluable to Microsoft in building out our carbon removal strategy," says Rafael Broze, Microsoft's Carbon Removal Manager.
Circuit won the $7 million grand prize in New York Governor's Kathy Hochul's competition to bring clean transportation to support underserved community needs in the state. The Circuit team plans to make its shared electric micro-shuttle services available for short rides in The Rockaways and Brentwood on Long Island. Circuit now serves over 30 communities in 8 states.
Plum is working with Scotiabank, Canada's third largest bank, to help manage talent acquisition and improve hiring outcomes. Plum's platform helped Scotiabank achieve a 50% increase in hiring women and a 60% increase in hiring visible minorities among campus hires. But the most eye-popping number the bank achieved is a 182% ROI, recovering their initial investment in Plum's platform in just 7 months. That caught the attention of Nucleus Research, who gave Plum their 2022 ROI Award.
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Disclaimer: These materials are intended for informational purposes only and may not be relied upon for making any investment decision. Information provided in these materials is believed to be accurate; however, Impact Engine makes no guarantees as to the accuracy of information provided. This document does not constitute an offer to sell or a solicitation to buy any securities in any fund, market sector, strategy or any other product managed by Impact Engine and may not be relied upon in connection with any offer or sale of securities. Impact Engine has not compensated any party for and is not aware of any material conflicts of interest arising from any ranking, endorsement, or testimonial referenced in these materials. Read full terms.