Weekly Impact Investment Market Update: March 23, 2018

Impact Investing & ESG
 

A Roadmap for the Impact Revolution

The Global Impact Investing Network lays plans for a five- to seven-year impact makeover of legacy financial markets.

Just Good Business: An Investor’s Guide to B Corps

Investors weigh the value of B Corp certification. More than 2,400 companies have been certified as “B Corps,” giving them a handy way to demonstrate their adherence to social and environmental performance and accountability standards. Do investors care?

How the Market for Impact Investing Could Go from Billions to Trillions

The biggest misconception about impact investing is that it’s charity. A market still in formation? Yes. A market in need of common definitions and metrics? Yes. But charity? No way.

Young Asians Pursue Impact Investing that Makes Profit at Home

The question is how fast the region will seize opportunities in societies’ many needs

ESG Researcher Sustainalytics Buys Solaron Sustainability Services

ESG research firm Sustainalytics purchased certain assets from Solaron Sustainability Services, a provider of environmental, social and governance ratings and research to global investors.

What Impact Investors Can Learn From Activists

Impact investment is a relatively new phenomenon – the billion-dollar trend most people have never heard of.

European Plans Ramping Up on ESG for Default Options

European defined contribution plans are gearing up to incorporate ESG elements into their default funds ahead of anticipated changes to retirement rules.

How Women Are Influencing Impact Investing

Women today are taking on the challenges of this millennium with uncommon vigor and creativity by managing family, career and education in ways that are transforming how we live and work.

 

United States & Europe
 

Up, Up, Up Goes the Economy. Here’s What Could Knock it Down

Americans have spent much of the past decade wondering when the economy would recover from the crippling Great Recession. Now, they are considering another question: When, and how, will that recovery end?

 

Developing Economies
 

A Positive Surprise for Emerging Markets

Many eyes are watching emerging markets economies. The economies of countries such as China, Thailand, and South Korea, along with their stock markets, soared last year and are outpacing developed markets so far in 2018.

5 Takeaways from the 2018 World Economic Forum on Latin America

Latin America has long been considered a region on the brink of great success and prosperity, but corruption and mounting inequalities plague many of its countries, and solutions aren’t easy to come by — even if the problems are increasingly easy to identify.

Latin America in the New Asia-Pacific Trade Order

Economic relations between Latin America and the Caribbean (LAC) and Asia are at a crossroads. LAC countries face the dual challenge of reigniting trade with Asia, which remains the world’s fastest-growing region, while also diversifying and adding value to their exports.

Argentina, Germany Want to Keep Pledge for Free Trade at G20 Summit

Germany and Argentina want to uphold a pledge to keep international trade free at a summit of the world’s 20 largest economies in Buenos Aires this week, the countries’ finance ministers said on Sunday.

Water and Money’s $1 Trillion Relationship Crisis

With the U.S. and other countries needing massive water infrastructure spending, private capital will have to play a part.

Weekly Impact Investment Market Update: March 16, 2018

Impact Investing & ESG
 

Demystifying Impact Investing for Newcomers – and the Rest of Us

Three impact fund managers break it down during a live panel at Liquidnet’s New York office

How to Invest With a Conscience (and Still Make Money)

Jean Case, the chief executive of the Case Foundation, is a leader in impact investing, a movement that aims to force social change by minimizing or eliminating investors’ exposure to companies that harm the world and achieve a solid return.

Make Way for ‘Gender-Lens Investing’

One of the fast-growing parts of sustainable investing is so-called gender-lens investing, which integrates gender-based factors, either to improve returns or to promote more gender equality. There have been a number of investment product introductions around the world recently; expect more.

ESG is a Growth Strategy

Pioneers such as the Environment Agency Pension Fund or mastertrust Nest will have devoted the most time to thinking about ESG, but regulatory pressure is ramping up and could soon force more schemes to do likewise.

U.S. ESG Funds Struggle to Keep Pace with Global Peers

Environmental, social and governance-focused funds investing outside the U.S. have fared significantly better than their U.S. counterparts. Three- and five-year alpha numbers for the ex-U.S. cohort were 1.42% and 1.51%, respectively, while U.S. ESG funds struggled to outperform their targets.

Nomura Says to Study Long-Term Growth of ESG Bond Market

Nomura Holdings has established a research group to focus on the sustainable development of the bond market adhering to environmental, social and governance (ESG) standards.

The Surprising Leader in the $36 Billion Global Market for ‘Payments for Ecosystem Services’

Spoiler alert: China’s market-based system pays farmers and households more than $5 billion per year to reduce deforestation.

New Financing Facilities Blend Capital to Meet the 2030 Global Goals

Convergence design grants help fund managers mobilize private capital with public and philanthropic funding.

The Economics of Mobile Money

The business case for financial inclusion is clear. Capturing the opportunity is less so..

 

United States & Europe
 

UK Exports to a Group of Emerging Nations Could be $10B More

Annual exports to what Standard calls the Emerging 7 (China, India, Pakistan, Nigeria, Bangladesh, Vietnam and Indonesia) are currently worth £24bn.

 

Developing Economies
 

What’s the World’s Fastest-Growing Economy? Ghana Contends for the Crown

Its projected growth in 2018, between 8.3 and 8.9 percent, might outpace even India, with its booming tech sector, and Ethiopia, which over the last decade has been one of Africa’s fastest-growing economies thanks to expanding agricultural production and coffee exports.

South Africa’s Economy Expected to Grow at 1.9% in 2018

The OECD’s latest Interim Economic Outlook has revised South Africa’s growth rate expectations for 2018 and 2019 upward, on the back of positive sentiment around the economy and changes to the political landscape.

Latin America and the Caribbean: Back on Track

A nascent global recovery is improving prospects across Latin America and the Caribbean—albeit unevenly.

Weekly Impact Investment Market Update: March 9, 2018

Impact Investing & ESG
 

Digital Platforms Meet Sustainable Investing

The plan is to marry the firm’s brokerage and custody service menu with highly modular, API-driven services that help enterprises and advisors quickly deliver a new online investing service to customers.

Women’s Leadership Delivers a Prize for All: Long-Term Sustainable Growth

‘Better Leadership, Better World,’ and ‘Powering Potential’ suggest women are the key to economic outperformance.

Mobilizing Billions, then Trillions, for Climate Solutions and Energy Access

The Climate Finance Lab and Power Africa have both mobilized more than $1 billion.

Why Gender Diversity May Lead to Better Returns for Investors

Gender diversity at work and investing in equality for women can actually increase a company’s—and your portfolio’s—bottom line. Our expert explains.

 

United States & Europe
 

Canada Doubles Down on Innovative Finance for Global Development

Canadian budget commitment shows other G7 countries how public funding can catalyze private capital.

Mexico and Canada Just Got More Leverage in US Trade Negotiations

Eleven nations will formally enter into a new trade pact today designed to lower tariffs and bridge regulatory gaps around the Pacific Rim.

 

Developing Economies
 

Kenya February Private-Sector Activity Strongest in Nearly Two Years

Kenya’s private-sector activity expanded at a rapid pace last month as output rose and orders increased, a survey showed on Monday, news that will cheer investors after months of election-related contraction last year.

How China is Challenging American Dominance in Asia

As China grows more powerful, it is displacing decades-old American preeminence in parts of Asia. The outlines of the rivalry are defining the future of the continent.

Brazil’s Economy: From Zombie to Walking Dead

The OECD published its Brazil 2018 survey just as the country released figures showing its economy grew 1 per cent last year, its first year of expansion since 2014.

Latin American equities jump on U.S. jobs data

Latin American equities soared across the board on Friday, with Brazil’s benchmark Bovespa index gaining the most  intraday in three weeks, after new economic data in the United States eased fears of tighter monetary policy there.

Weekly Impact Investment Market Update: March 2, 2018

Impact Investing & ESG
 

Forget FICO: How Alternative Credit-Scoring is Driving Financial Inclusion

Fintech startups are crunching call-logs, app installs and even punctuation to help individuals and businesses get loans in Kenya?—?and the U.S.

In Latin America, Tech is Driving Impact and Impact is Driving Tech

As investors seek scale at this week’s Latin America Impact Investing Forum, many are asking, ‘What is impact?’

Taking the Mystery Out of Impact Investing

One mission of ImpactAssets, a U.S. nonprofit financial services firm, is to make it easier for individuals, families, and the advisors who serve them to get their hands on the information required to understand and evaluate potential impact investments—those that aim to generate social and environmental value as well as a market-based return.

ESG, Sustainable and Impact Investing: An Advisor’s Guide

Here are some resources for advisors who are just beginning to educate themselves about these investments, which are increasingly in demand.

IA50 Assets Doubled in 2017

ImpactAssets announced that fund managers included in the seventh annual ImpactAssets50 nearly tripled their assets managed in 2017 compared with the previous year. An estimated $29.2 billion in assets were managed by IA 50 funds in 2017.

Use These 10 ESG Factors to Avoid Riskiest Investments in 2018

Don’t just think of ESG factors as representing an opportunity to own assets because of corporate policies and practices concerning the environment or social and governance issues. They can also serve as a warning sign about the risks of owning certain securities, those that score low on the ESG continuum.

Sustainable Banking Network – Global Progress Report

Emerging markets have become a major driver for sustainable development and addressing climate change. Reaching the SDGs and climate targets will require a sustained effort and an estimated $70 trillion of financing by 2030. In emerging markets, banks hold assets estimated at more than $50 trillion, which gives them the potential to make a substantial difference in sustainable development.

The Rise of ESG Investing in Asia

Incorporating environmental, social and governance (ESG) factors into investment decisions, responsible investment is no longer a niche area in Asia.

Retail Investors Find Comfort in ESG Investing

‘ESG Investing’ has morphed into a catch-all term for a range of strategies that really incorporate different styles and fundamental differences. However, all these concepts, which originally found their feet among institutional investors, are increasingly creeping into retail investor vernacular.

 

United States & Europe
 

Colt ‘Greens’ Its European Data Centre Network As Strategy Works

While some countries make it tricky to go entirely green in the DC field, Colt says it’s making great strides in doing the right thing.

 

Developing Economies
 

Nigerian Bank Profits Set to Get Boost from Economy’s Comeback

The spring in the step of Nigeria’s economy is likely to show up in the results of the country’s banks when they start reporting 2017 earnings from this month.

Asian Export Rebound to Fuel Faster Economic Growth in 2018

Against a backdrop of growing optimism, fueled by rising exports, China’s economy will grow by an inflation-adjusted 6.4% and four big Southeast Asian economies will log combined growth of 5.2% this year, according to a forecast by the Japan Center for Economic Research.

Is Emerging Europe Prepared for GDPR?

Giving control over their personal data back to people, and simplifying and unifying regulations within the European Union are the two primary objectives of the General Data Protection Regulation (GDPR), which comes into force on May 25, 2018.

Latin America Moves the Needle in the Geopolitics of Trade

Trade is a geopolitically charged subject, and nowhere more so than in Latin America.

Weekly Impact Investment Market Update: February 23, 2018

Impact Investing & ESG
 

Institutional ESG Investing Can Bring Tough Reporting Questions

Highlights from a new Natixis survey suggest reporting challenges continue to rank as top hurdle for institutions implementing ESG programs; this includes the concern that public companies may be “greenwashing” reported data to enhance their public image.

Impact Investors Seek to Expand Market

Impact investing has accelerated rapidly in the last several years as more investors—both big institutional firms as well as wealthy families—seek to put capital into enterprises that make a difference for people and the planet while still generating a financial return.

‘Green’ Investing Helps Shield Investors from Correction

Investing in ‘green’ funds benefits more than just the environment; this type of investing can also be healthy for investors’ bottom line, recent data says.

Institutional Investors Were Prepared for Market Volatility

While the market volatility may be surprising to some, institutional investors have been diligently diversifying their portfolios in anticipation of its return, Natixis Investment Managers found in a survey of 500 institutional investors around the world.

Every CFO Should Know This: ‘The Future of Banking’ Ties Verified ESG Performance to Cheaper Capital

This may be the first time a company’s cost of capital is explicitly tied to its third-party-verified ESG performance.

ESG Climbs Limited Partners’ Due Diligence Agenda

“The importance being attached to ESG is being driven by changing attitudes among a number of stakeholders.”

Japan Urged to Tap Dormant Bank Accounts to Promote ‘Impact Investment’

Japan should tap unclaimed money from dormant bank accounts to promote investment for social good, Ronald Cohen, capitalist who chairs the Global Steering Group for Impact Investment.

 

United States & Europe
 

US Economy: The Growth Puzzle

After several years of weak demand and low inflation, investment is rising. But an increase in long-term growth requires a big jump in productivity.

U.K. Wages Pick Up as Fewer Eastern Europe Workers Fill Jobs

U.K. pay is picking up after employment among citizens of the eastern countries that joined the European Union more than a decade ago fell for the first time since 2009.

 

Developing Economies
 

Time to Reform the Multilateral Development Bank System

The Multilateral Development Bank System is uniquely placed to play a central role in realizing the ambitions of the new global agenda.

First Bank Nigeria Sees Faster Growth Buoying More Lending

Nigeria’s biggest bank by revenue expects lending to accelerate and bad debts to drop this year as growth in Africa’s largest economy picks up.

Asia Debt Binge to Dampen Growth but Not Derail It, Oxford Says

Asia’s soaring levels of debt will weigh on growth over the next decade – especially in China, Malaysia, Thailand and India – but it won’t be enough to derail the region’s economy.

Indonesia Set to Join Green Bond Club

Indonesia, the world’s biggest exporter of coal used to generate power, is set to become the first Asian country to sell green bonds, underlining the tension in the nascent but fast-growing market.

Singapore Budget 2018: Gearing Economy Up for Greater Emphasis on Asia. New Tech, Ageing Population

Amid Singapore’s strong position riding on a global upturn last year, Finance Minister Heng Swee Keat outlined in his Budget speech on Feb. 19 three major shifts in the coming decade: a greater economic emphasis on Asia, the emergence of new technologies and an ageing population.

Is Argentina the New Darling of Emerging Markets?

Is Argentina the new darling of emerging markets? Or is this Carlos Menem 2.0? Investors know how that ended.

Weekly Impact Investment Market Update: February 16, 2018

Impact Investing & ESG
 

Rise of the Rest Adds First Nine Portfolio Companies – and More Big Name Investors

The $150 million fund’s first nine investments include startups in Indianapolis, Columbus and Pikeville, Kentucky, among other places.

Overheard at The Economist’s New York Impact Investing Event

Headliners at the magazine’s second annual gathering seemed to find their voice in rebutting stubborn assumptions.

Global Banks: We’re Watching How You Finance the Low-Carbon Transition

Boston Common Asset Management calls out the laggards -and a few leaders- in the $12 trillion 2030 financing challenge.

ESG Gains Traction in Exchange-Traded Products

ESG exchange-traded products gained a lot of traction in 2016, a trend that carried into 2017.

Is ESG Investing Going Mainstream?

Despite advisers’ misgivings, asset managers are coming around to the idea that a company’s stance on environmental, social and governance issues is a good proxy for future success.

Merrill Edge Adds ESG Scores to Client Dashboard

Merrill Lynch is making impact investing a centerpiece of Merrill Edge, the firm’s digital investment service tailored to clients with less than $250,000 of investible assets.

Mapping Forest Finance: A Landscape of Available Sources of Finance for REDD+ and Climate Action in Forests

REDD+ has emerged as a key approach for reducing emissions from deforestation and forest degradation in developing countries by providing a policy framework for increasing the value of standing forests.

How Green Banks Assess and Report Impacts

Green banks accelerate private investment in low carbon, climate-resilient (LCR) infrastructure, particularly clean-energy projects. Formed in December 2015, the Green Bank Network (GBN) fosters collaboration and knowledge exchange among green banks, which enables them to share best practices and lessons learned.

 

United States & Europe
 

Five Charts That Explain How European Banks are Dealing with Their Bad-Loan Problem

For European banks, it’s a headache that just won’t go away: the 944 billion euros ($1.17 trillion) of non-performing loans that’s weighing down their balance sheets.

 

Developing Economies
 

A Banner Year for Emerging Markets in 2017

One segment of the market that demonstrated this increase in risk appetite was Emerging market equities – experiencing their strongest performance since 2009.

The Future of Economic Convergence

The world is now facing what observers are calling a “synchronized” growth upswing. What does this mean for the economic “convergence” of developed and developing countries, a topic that lost salience after the Great Recession began a decade ago?

3 Emerging Market Risks Companies Should Watch for in 2018

Top leaders tend to focus more on status updates than on contingency planning. They devote far more time to internal execution and competitive risks than to external risks that can change the playing field. This means that many emerging market risks get cut from the senior leadership agenda.

Fastest-Growing African Economy is Even Bigger than It Seems

Ghana plans to publish overhauled economic data that will show its gross domestic product is bigger than currently estimated.

How Climate Change is Fueling Innovation in Kenya

A new generation of start-ups are working to help farmers in a region that faces myriad challenges.

Figures of the Week: Digitalization and Financial Inclusion in Kenya

According to Bloomberg, Kenya led all African countries in mobile money transactions—at $45.3 billion—through the year ending June 2017.

Namibia’s Roads Ranked the Best in Africa

The Roads Authority has announced that Namibia was once again accorded top position for having the best roads in Africa by the World Economic Forum.

Tanzania: Taking Stock of Reforms in Agricultural Sector

All eyes will be in Dodoma as stakeholders in agriculture will in a three-day conference from tomorrow take stock of reforms in the agricultural sector and plan development agenda of the sector.

What Inflation Fears? Asia Bond Markets Bet on Regional Rates Staying Low

Asia’s relatively stable bonds and money markets seem immune to the inflation fears that convulsed global equities recently, as investors bet the continent’s major economies will keep interest rates low as price pressures remain benign.

Now is the Time to Double Down on Argentina

Argentina’s economy is poised to experience solid growth as deregulation and economic liberalization deliver a sizable economic dividend.

Argentina: Macri’s Herculean Task

Argentina has made good progress in the past years, but a lot of work remains to be done.

Weekly Impact Investment Market Update: February 9, 2018

Impact Investing & ESG
 

Make Money, Do Good: Women and Young Invest with Purpose

Investors increasingly want more than good returns – they want to do good, too, with women and millennials most likely to buy products that seek to save the world, according to a Swiss bank.

ESG and Impact Investing: Do You Know the Difference?

As investors increasingly rally behind the concept that their investment choices yield the ability to positively impact social or environmental issues, interest in impact investing has skyrocketed.

View from Seattle: Nine Ways to Create a Bigger Tent for Impact Investing in 2018

SOCAP365 hits the road to dig up local insights from long-time impact investors.

Record-Breaking 2017 Closes Gap Between Impact & Return-Driven Investing in Africa

African startups had a record-breaking 2017 when it came to fundraising, securing a total of $195 million, according to the recently released Disrupt Africa African Tech Startups Funding Report.

UN SDGs Can Propel Impact Investing into the Mainstream

Impact investing is set to continue to grow, as many investors are interested in making their money work for good, as well as for returns.

DC Participants Seen as Next Advocates of ESG Mantra

ESG investing is getting a closer look from defined contribution stakeholders as a potential way to increase participant engagement and participation, provide diversification, achieve higher long-term returns and manage risks.

Millennials Embrace ESG Options in Bloomberg’s 401(k) Plan

Millennials are the largest identifiable group that has elected to participate in the ESG-focused fund in Bloomberg’s $2.5 billion U.S. 401(k) plan.

 

United States & Europe
 

Europe is to Choose a New Key Member for the European Central Bank

So far, two names have been mentioned as potential replacements for Constancio: Spanish Economy Minister Luis de Guindos and Philip Lane, the governor of Ireland’s central bank.

 

Developing Economies
 

Star of Africa in 2018 Lenders’ Economic Forecasts is Ghana

Africa’s likely star economic performer this year isn’t in much doubt, according to all three of the international lenders focusing on the continent.

Ghana’s President Pledges to Build on Economic Progress of 2017

Ghana’s President said efforts to stabilize the economy are beginning to yield results as the rate of debt-growth slowed while the government exceeded targets for keeping spending under control.

Thailand Approves Law for US$45 Billion Eastern Economic Corridor

Thailand’s parliament on Thursday approved legislation geared towards attracting more investment in an ambitious $45 billion project in the country’s industrial east, which the ruling junta hopes will help lift Southeast Asia’s second-largest economy.

Eastern Europe: The Growth Which is Not Visible

The relevance of the Eurozone on a global level means that the majority of the macroeconomic information being handled pivots around the countries in the region. As a result, we habitually don’t pay attention to the performance of other economies in Europe which, in the last few years, have shown vigorous growth.

Weekly Impact Investment Market Update: February 2, 2018

Impact Investing & ESG
 

Why It’s Time to Align Retirement Funds with Sustainability Goals

A new wave of environmentally focused retirement funds aims to advance corporate sustainability goals while enabling employees to save for their own financial future.

Sustainable Funds U.S. Landscape Report

Sustainable investing has gained considerable traction over the past several years. Yet, these funds can be difficult to identify and analyze because they take varying approaches and don’t represent a single asset class or investment style. This report clarifies the choices of sustainable funds available in the U.S. as of the end of 2017.

MSCI: How Does ESG Impact the Performance of Companies?

MSCI has published new research highlighting how ESG characteristics affect corporations’ valuations and risk profiles.

The Success of ESG Depends on Transformative Approaches

Corporate-NGO partnerships absolutely hold potential for positive change from an environmental, social and potentially governance perspective.

Dutch Pension Fund Moves from Impact Alignment to Impact Management

PGGM takes stock of what and how much impact its investments have, but on who remains a mystery.

Four Ways to Get the Private Sector to Start Paying Attention to the Global Goals

Public and philanthropic funders can get smart on mandates, responsibilities and regulations driving private investments.

Yahoo Finance Expands Offering as Only Free Provider of Sustainability Scores, across Desktop and Mobile Web

Starting today, conscientious investors will be able to track the ESG scores of more than 2,000 publicly traded companies, only on Yahoo Finance.

Sexual Harassment Screens Making It into ETF ESG World

Impact Shares, a not-for-profit startup that partners with leading charitable organizations, is launching the first ETF focused on women empowerment that will screen for sexual harassment.

Is the Social Impact Bond Market Half-Billion Full or Empty?
An update on the more than 100 social impact bonds launched to date.

Investors Wake Up to a $2.3 Trillion Opportunity in Sustainable Food and Agriculture

For example, food corporations Cargill, Tyson Foods, PHW, and even fast-food chain McDonald’s, are investing in alternative proteins.

 

United States & Europe
 

Every One of the World’s Big Economies is Now Growing

A decade after the world descended into a devastating economic crisis, a key marker of revival has finally been achieved. Every major economy on earth is expanding at once, a synchronous wave of growth that is creating jobs, lifting fortunes and tempering fears of popular discontent.

U.S. Economy Creates 200,000 Jobs in January; Wages Take Off

Wage gains unexpectedly accelerated last month to the fastest pace in more than eight years, signaling that average workers’ pay may finally be breaking out of a long period of weakness, according to a report Friday that also showed hiring continued at a solid pace.

Europe’s Economy Grew Faster Than the U.S. Last Year

Sure, the United States is growing at a nice clip. But Europe’s economy is expanding at an even faster rate.

 

Developing Economies
 

Emerging Market Inflows at 7-Month High of $30 Billion in January

Foreign investors poured $30 billion into emerging markets in January, a seven-month high and the best start to a year since 2015, according to data from the Institute of International Finance (IIF).

Emerging Markets Offer Attractive Investment Opportunities in 2018

Emerging Markets continue to offer attractive investment opportunities even after the strong performance seen in 2017.

WhatsApp-ening with Forests and Climate in Togo?

After years of working in environmental protection in Togo, Brigitte Acakpo-Addra identified a problem in need of an innovative solution.

Asia’s Central Banks Should Prepare to Raise Interest Rates

Financial markets around Asia are preparing for a Goldilocks economy in 2018 — not too hot, not too cold, with strong growth and stable prices.

How Southeast Asian Countries Compare on Growth and Development

A new World Economic Forum development index shows that countries can be measured on a range of factors, including healthy life expectancy, GDP per capita and distribution of wealth

The Energy Solution Latin America Needs

One of the sunniest places on earth, Chile’s Atacama Desert, has the highest solar irradiance in the world — and the potential to generate enough electricity to power all of South America.

Weekly Impact Investment Market Update: January 26, 2018

Impact Investing & ESG
 

ESG Moves from the Margins to the Mainstream

Environmental, social and governance issues are often described by businesses and investors as “nonfinancial,” suggesting they have no materially significant impact on the bottom line, either as a risk to revenue or an opportunity for business growth.

How to Drive Competitive Returns with Impact Investing

Businesses that incorporate “material ESG factors into their strategy, operations and culture will outperform [others that do not] over the long term,” is the underlying philosophy at New York City-based Inherent Group.

 

United States & Europe
 

U.S. Economy Picked Up in 2017, but Growth Slowed at Year’s End

The economy grew 2.3% for the year, the Commerce Department said Friday. That’s well ahead of the 1.5% growth in 2016, but slower than 2015.

Robust Imports Slow U.S. Economic Growth in Fourth Quarter

U.S. economic growth unexpectedly slowed in the fourth quarter as the strongest pace of consumer spending in three years resulted in a surge in imports.

 

Developing Economies
 

A Global Convergence of Economic Conditions is Driving the Market Melt-Up

There’s a simple way to make sense of the tumbling dollar, the Treasury selloff and the emerging-market boom, all springing in lockstep. Investors are intensifying their bets on synchronized global growth, a dynamic that’s crimping demand for safe assets and fueling convergence trades.

The Recent History of the Global Economy in One Chart

In 1950, the average African had almost twice as much income as the average Asian. At 63% of the world’s average, she wasn’t far behind the typical global citizen, either.

The Fun is Just Starting for Emerging-Market Stocks

The key risk for investors in emerging-market stocks is not getting caught in a slump, but exiting the rally too early.

African Development Bank to Add $2Billion to Nigeria Loans

The African Development Bank plans to increase its loans to Nigeria by more than $2 billion next year with investments in energy, infrastructure and agriculture, its President Akinwumi Adesina said.

IMF Revises Up 2019 Asian Growth Due to India’s Strength

Indian economy picks up the slack from China as Asia outperforms.

Brazil Believes Its Growth Rate Will Be Double the IMF’s Forecast

Brazil expects to see upwards of 3 percent GDP growth in 2018, Brazilian Finance Minister told CNBC Tuesday, a figure that flies in the face of the International Monetary Fund’s forecast of 1.5 percent.

Trust in Latin America’s Growth Outlook Strengthens: Poll

Economists’ confidence in Latin America’s prospects is strengthening ahead of major elections in the region as global growth accelerates, the latest Reuters survey found.

Weekly Impact Investment Market Update: January 19, 2018

Impact Investing & ESG
 

BlackRock’s Message: Contribute to Society, or Risk Losing Our Support

On Tuesday, the chief executives of the world’s largest public companies will be receiving a letter from one of the most influential investors in the world. And what it says is likely to cause a firestorm in the corner offices of companies everywhere and a debate over social responsibility that stretches from Wall Street to Washington.

The Lasting Impacts: The Need for Responsible Exits

Lasting Impact: The Need for Responsible Exits demonstrates why and how investors attempt to safeguard the continuity of their investments’ impact beyond exit.

Everyone’s Winner? How ‘Impact Investing’ Can Make Money – and Do Good

Rural families in Africa who need access to power and investors seeking a decent return on their money are getting together so everyone prospers. The cherry on the cake? It’s good for the environment too.

Global Goals, Country Plans: How Achim Steiner is Making SDGs Investable

UNDP Chief says there are “enormous mountains of cash” available for Sustainable Development Goals.

A New Impact Investing Model for Education

On the outskirts of Bengaluru, India, Sri Vidya Bharathi Matriculation School is part of a new wave of mom-and-pop, low-fee private schools that now serve roughly 30 percent of India’s 300 million school-age children.

 

United States & Europe
 

Apple Accelerates US Investment and Job Creation

Apple announced that it will contribute $350 billion to the US Economy, create 20,000 new jobs, and invest $5 billion in advanced manufacturing funds over the next five years.

 

Developing Economies
 

2018 African Economic Outlook Shows Economies Resilient to Negative Shocks

Launching the 2018 African Economic Outlook on Wednesday, the President of the African Development Bank, Akinwumi Adesina, made a compelling case for accelerating Africa’s industrialization in order to create jobs, reduce poverty and promote inclusive economic growth.

AfDB Projects Ghana Economic Growth at 8.5% in 2018

A number of projections of economic growth for Ghana in 2018 have all suggested growth above 8 per cent following a 3.5 per cent growth in 2016, which was also the lowest in about two decades.

Global Markets – Asia Shares Hit Historic Highs, Dollar Slips Anew

Asian shares hit historic highs on Monday after Wall Street extended its record-breaking run, while the U.S. dollar retreat continued as investors priced in the risk of tighter policies elsewhere in the developed world.

First the Sun, Now the Wind

China is to become the world’s offshore wind leader by 2022.

Indonesia Wants to Lure More Foreign Banks to Its Financial Institutions

Banks from countries including China are looking to follow the example of Japan’s largest lender and buy stakes in Indonesian financial institutions.

Update – Argentina Fiscal Deficit Falls to 3.9 Percent of GDP of 2017

Argentina posted a primary fiscal deficit worth 3.9 percent of gross domestic product (GDP) in 2017, below its 4.2 percent goal and the 4.6 percent figure posted in 2016.

Brazil Economic Activity Expands for Third Month in November

Economic activity in Brazil expanded for a third straight month in November, the longest stretch of gains since 2014, suggesting strong momentum at the end of the year.

World Bank Projects Colombian GDP to Grow by 2.9% in 2018

Colombian GDP will grow by 2.9% in 2018, according to a new projection from the World Bank. While this is an improvement from the 1.8% estimated economic growth of 2017, it is a decrease from the 3.1% rate for 2018 that the global financial organization had projected for Colombia last June in a prior forecast.