How Two Rulings are Removing Roadblocks from Impact Investing

This article explores how the removal of two federal regulatory barriers to impact investing will provide a pathway for private pension plans and foundations to play a greater role in the field. The two rulings include: changes to Department of Labor rulings for pension plans subject to the Employment Retirement Income Security Act (ERISA) to practice impact investing, as well as the introduction of new IRS guidelines that enable private foundations to use their endowments to make impact investments for profit without risking their favorable tax treatment.