Here’s what you need to know about impact investing, where returns are not the only reward
by Debora Nason, CNBC
Growing rapidly within the socially responsible investing landscape is the world of so-called impact investing, which deploys your money more directly toward solving societal problems.
Largely executed through direct investing platforms, this approach addresses specific problems, such as alleviating poverty in certain communities or reducing pollution.
These investments are designed to generate specific, positive and measurable environmental, social, and/or good governance outcomes, oftentimes with market-rate financial returns, said Michael Kramer, managing partner of Natural Investments in Kona, Hawaii. Furthermore, outcomes can have a local or a societal focus.