The Global Impact Investing Network (GIIN) published its Annual Impact Investor Survey, providing indepth analysis of impact investing market trends, challenges, capital allocations geographies, impact measurement and management from 266 leaders in the impact investing market.
“Global challenges like entrenched inequality and climate change require large-scale, urgent action, and impact investors are stepping up to help fuel positive progress. They are accounting for considerations that have long been ignored in the financial sector—the impact of investments and businesses on people and the planet,” said Amit Bouri, CEO and co-founder of the GIIN.
He added “Our research shows that the growth of impact investing has largely been fueled by client demand, which demonstrates the powerful potential for people to influence positive change in the financial system.”
Key Findings from the Annual Impact Investor Survey
The impact investing industry is diverse
Survey respondents represent a variety of investor types, including fund managers, foundations, banks, development finance institutions, family offices, pension funds, and others. A majority of the investors are headquartered in developed markets; assets are allocated globally, with about half invested in emerging markets.
Respondents also allocate across a variety of sectors, with the greatest share allocated to energy (15%), microfinance (13%), and other financial services (11%).
The impact investing market continues to grow and mature
Collectively, respondents manage US$239 billion in impact investing assets (nearly half of the total impact investing market, as measured by AUM).
Impact measurement and management (IMM) is central to investors’ goals and practices
Respondents nearly universally measure and manage their impact, typically using a mix of qualitative information. More than 60% of investors track their investment performance to the United Nations’ Sustainable Development Goals.
Impact investors report performance in line with both financial and impact expectations
A clear majority of respondents indicated that their investments have met or exceeded their expectations for impact (98%) and financial (91%) performance.
Impact investors indicate a strong commitment to developing the industry
Investors largely recognize their role in contributing to broader field-building efforts and industry development. For example, over 80% of respondents indicated contributing toward the various actions recommended in the GIIN’s Roadmap for the Future of Impact Investing.