Weekly Impact Investment Market Update: August 25, 2017

Impact Investing & ESG

Investment Managers Have Found a New Way to Give Back

The popularity of companies that give back — such as Warby Parker and TOMS, which donate a pair of glasses or shoes for every pair you buy — is spreading to investments. Investment manager Infrastructure Capital Advisors, for one, is giving 10% of its revenue from sales of its exchange-traded funds towards funding an organization aimed at closing the education gap with low income youth, called Tutoring America.

These Super-Rich Families are Investing their Fortunes to Help Others

Some of world’s richest families have signed up to a pact: They will invest parts of their vast fortunes in ways that improve the lives of others. The group, which calls itself The ImPact, has plenty of billionaire street cred: It’s the brainchild of Justin Rockefeller (a great-great grandson of John D. Rockefeller) and Josh Cohen (CIO of Tyden Ventures).

Can the Good Capital Project Boos Collaboration Among Impact Investing Silos?

The Good Capital Project (GCP), a new initiative from the people who run the Social Capital Markets Conference (SOCAP), is bringing together a variety of players in the impact investing world in an attempt to create more cohesion, pinpoint what’s hindering mainstream acceptance and increase the amount of available financing.


United States & Europe

European Central Bank Chief Says Monetary Policy Must Stay “Very Patient”

Mario Draghi, the president of the European Central Bank, said Friday that monetary policy must remain “very patient” even as an economic recovery finally takes hold in Europe. “A significant degree of monetary accommodation is still warranted,” he said. Mr. Draghi made the remarks here at the end of a speech devoted to the longer-term prospects of developed nations. He argued that the developed world must remain committed to globalization, which he described as critical to future prosperity.

Developing Economies

Impact On Record Episode 8: Dr. Moka Part 1

In the podcast, Impact On Record interviewed Dr. Moka Lantum. Dr. Lantum is co-founder of MicroClinic Technologies, a Nairobi based company, commercializing ZiDi, Africa’s first enterprise health management solution for BoP clinics/hospitals provided as a hardware-software utility service through partnerships with both public and private institutions across Africa. As a social entrepreneur, he is committed to also create youth employment opportunities in Health IT and improve last mile access to safe affordable drugs.

Zambia in the Process of Creating Opportunities for Private Sector Participation in Infrastructure Development

Finance Minister Felix Mutati has said the Zambian government is in the process of creating financing instruments which will facilitate enhanced participation of the private sector in infrastructure development. Addressing delegates and investors at the on-going Africa Infrastructure Financing Forum in Johannesburg, South Africa, today, Mr. Mutati said one of Zambia’s top priorities was to mobilise public-private-sector investment for mega projects such as the planned Batoka Power Station between Zambia and Zimbabwe which is expected to produce 2,400 MW of hydro power and enhance developmental integration in the region.

Chinese G in ESG: Governance Tilt Yields Strong Returns

In June 2017, WisdomTree (NASDAQ:WETF) and MSCI announced that they would be adding Chinese A shares to their indexes1 in order to broaden the investable universe to include Chinese-listed firms. MSCI will be adding China A shares in June 2018, whereas WisdomTree implemented these changes to two of its emerging market Indexes on August 11, 2017. While the inclusion of locally listed firms is certainly a milestone for Chinese capital markets, listing venue may be of secondary importance in evaluating the merits of a Chinese equity index.

Emerging Stocks at Multi-Year Highs ahead of Jackson Hole Meeting

Emerging market stocks rose to multi-year highs on Friday and were set to end the week up 2.5 percent, led by gains in Poland and China, ahead of a central bankers’ meeting that is not expected to rock the boat. MSCI’s benchmark emerging markets index was up 0.36 percent in morning trade to its highest since September 2014, with gains across the board in Asia and emerging Europe. Amongst the outperformers was Poland, up 4.7 percent for the week, its biggest weekly gain since late April, and trading at more than two-year highs.

Africa in Spotlight as TED Global Returns to Tanzania

A decade after it was first held in Arusha, TED Global returns to Africa next week to highlight Africa’s rich intellectual, artistic and problem-solving culture. It will also examine some of the key challenges the continent is facing and bring together some of the great minds finding ways to solve them. The  theme for the four-day event is “Builders. Truth-Tellers. Catalysts.”