The ascent of Impact Investing has been remarkable. From its early roots in social entrepreneurship and community finance, the sector has grown exponentially, with the Global Impact Investing Network (GIIN) reporting a market size of over $1 trillion in assets under management by 2021. This growth reflects a paradigm shift in how investors, from large institutions to individual contributors, view the role of capital in addressing critical global challenges.
In this course, we will explore the evolution of Impact Investing, its current landscape, and the challenges it faces. We will examine key concepts such as the difference between Impact Investing and other forms of responsible investing, the importance of measurability and intentionality in impact investments, and the diverse range of impact investment vehicles and strategies.
Through a combination of case studies, lectures, and guest speakers from leading practitioners, students will gain a comprehensive understanding of how Impact Investing operates across different asset classes, including private equity, venture capital, and debt. We will also discuss the role of investor intentionality, the challenges of aligning interests between asset allocators and fund managers, and the innovative financial structures emerging within this dynamic field.
In IMPACT we will focus on impact investing while in the companion course ESG Investing (ESGINV) we explore the broader landscape of Responsible and ESG Investing. We will focus on the investor’s side, while other courses such as Strategy and Sustainability (STRATS) and ESG Risk Management (ESG) take the perspective of corporate managers and focus on how to deal with these issues from the corporate side.
