Next Normal Now: Re-Imagining Capitalism for Our Future

This Financial Times article covers Temasek’s recent $500m allocation to Leapfrog Investments. According to the GIIN, Temasek’s partnership “marks the largest single commitment to a specialist impact investment manager.”

In this Forbes article, eight finance experts share their go-to resources on impact investing. Seema Chaturvedi, from AWE (Achieving Women Equity) Funds, lists the Global Impact Investing Network as “the one resource” she turns to, to learn about impact investing.

This Stanford Social Innovation Review article covers the emerging field of corporate impact investing, which currently stands at “more than $7.2 billion in committed capital.” The authors outline five strategies of successful corporate impact funds that may inspire and help new investors navigate this nascent market.

In this article, Kelly Hébert from M&G Investments covers the growing interest in impact investing amongst investors, and especially among millennials. Hébert underscores that “more and more investors want their investments to impact society in a concrete and positive way.” Impact investing offers an answer to this demand.

This Messaggero article highlights that the current pandemic has brought to light that investing in a sustainable and inclusive way must become a top priority and cannot be delayed further. It notes that according to the 2020 Annual Impact Investor Survey by the Global Impact Investing Network, the impact investing market stood at 715 billion in 2020. Yet, the impact investing market must grow exponentially in order to tackle the inequalities that the current COVID-19 crisis has exacerbated.

In this article, Suzanne DiBianca, Chief Impact Officer at Salesforce underscores that “we need a more equal, fair and sustainable way of doing business that values purpose alongside profit” because “capitalism as it is currently designed doesn't work for everyone.” The article also shares GIIN market sizing data, which estimates that the impact investing sector “had ballooned to $715 billion” in 2020. DiBianca notes this growth needs to continue and argues, “if we remain committed to reform and innovation, impact has the opportunity to prove that the challenges we face can accelerate progress, not inhibit it.”

In this piece, Anna Muoio, Amit Bouri, and Chris Jurgens reflect on how "a growing chorus of stakeholders is demanding change to the current economic system—with ambitions ranging from recalibration to fundamental restructuring—so that it meets the needs of our society and our planet, so that it responds to the greatest challenges of our time." They share lessons learned from the initial phase of the New Capitalism Project, including the way in which they developed a "kaleidoscopic view on the nature of the problem" to explore the broad landscape of those reimagining capitalism. As such, they reveal findings regarding: visions for the future, organizational levers and tactics for change, influence strategies, and movement ecology. The piece also highlights plans for the next phase of the New Capitalism Project, in which they will be working together to better align stakeholders in driving systemic change.

In this BBC Mundo article, Cecilia Barria reports that technological advancements are lowering the production costs in green investments, which is resulting in greater interest amongst businessmen, “…more and more businessmen are interested in betting on them.” The article also highlights that according to Amit Bouri, co-founder and CEO of the GIIN, environmental investments are growing in sectors as different as renewable energy, food, sustainable agriculture or forestry. "Investors have woken up," notes Amit, underscoring that, to achieve good and long-term profitability, companies have to address the climate crisis.

In this Arab News article, Keith Fernandez notes that impact investing has become more attractive to venture capital firms in MENA since the start of the COVID-19 crisis. Keith reports, according to the GIIN’s 2020 Annual Impact Investor Survey, 73 percent of 294 leading investors said they would maintain or increase their planned outlay for 2020. Along similar lines, Medea Nocentini, co-founder and CEO of C3 (Companies Creating Change), believes, “most social enterprises not only survived during the COVID-19 pandemic but also thrived. This proves that companies creating change are the future.”

In this Bloomberg article, Saijel Kishan announces that the founder of one of the biggest tech hedge funds of a decade ago, Chris James, is currently investing in businesses that have a positive impact on society and the environment – a practice which is on the rise. Saijel reports that “impact investments, […] are surging in popularity amid heightened concern about racial and income inequality, as well as climate change.” This has been confirmed by the GIIN’s 2020 Annal Impact Investor Survey that estimates that the market size of the impact investing industry grew to USD 715 billion by the end of 2019.