Asset managers who invest money on behalf of others, as well as asset owners such as pension funds and endowments, have fiduciary duties – the legal obligation to act in the best interest of their clients or scheme members – when making investment decisions. An often narrow interpretation of fiduciary duties as the sole obligation to deliver financial returns, paired with the misconception that impact investing means sacrificing financial returns, are the two biggest barriers to impact investing.
What we do to solve it
Together with leading legal experts, we produced research that demonstrates the compatibility of impact investing with an asset manager’s and an asset owner’s fiduciary duties. With the insight of pension professionals, we developed our Impact Investing Principles for Pensions – a practical guide for pension schemes to pursue an impact investing strategy. We also produced a how-to-guide on impact investing for foundations who want to invest their endowment with impact. We bring our guides come to life through delivering events and training.