Weekly Impact Investment Market Update: June 8, 2018

Impact Investing & ESG
 

Can Impact Investing Avoid the Failures of Microfinance?
The impact investment industry is growing rapidly. In 2010, J.P Morgan projected up to $1T in investment would be deployed this decade — which would make impact investing twice the size of official development aid to the world’s less develop countries.

Getting Asia Ready for ESG Investing
ESG investing is gaining traction globally because of the resilience it can offer in times of uncertainty and the value it creates to foster sustainability.

Everyone Has a Role to Play in ESG
There is, as yet, no legal requirement for pension schemes to provide or incorporate environmental, social and governance-led funds into their investments. So who is responsible for responsible investment and what role should different parties play in pushing this up the agenda?

Financial Inclusion for Emerging Economies – A Case for Private Debt Impact Investing
The impact investing industry marks another phase in its evolution by welcoming to its ranks deep-pocketed private equity firms like TPG, Bain Capital Management, and most recently KKR.

BC State Built a ‘Responsible’ Fund That’s Outperforming Its Main Portfolio
A college finds ESG investing is actually paying off.

ESG Funds: Impact and Alpha
These ETFs show that an adherence to companies with high-ranking environmental, social and governance scores produce more reliable earnings and can outperform the market.

 

United States & Europe
 

U.S Economy Extends its Hiring Spree, with a Better than Expected 223,000 New Jobs in May
The U.S. economy added 223,000 jobs in May as U.S. companies continued their hiring spree, according to the Labor Department’s monthly jobs report released Friday. The unemployment rate fell to 3.8 percent, the lowest since 2000.

 

Developing Economies
 

Bullish Signs in These Seven Charts Boost Emerging Markets
From Goldman Sachs Group Inc. to Morgan Stanley and Citigroup Inc., analysts say optimistic signs are hard to miss, touting high real interest rates, inflation that’s close to all-time lows and for the most part, the disappearance of those pesky current-account deficits so common to the 2013 taper tantrum.

Here is the World Bank’s New Economic Outlook for Sub-Saharan Africa
The report stated that countries like Ghana, Kenya, and Nigeria, experienced a pickup in manufacturing activity, while renewed government commitments to macroeconomic and governance reforms have boosted investor and consumer confidence in Angola, South Africa, and Zimbabwe.

Africa’s Most Promising Economy is Opening up to International Investors
Domestic and foreign investors will soon be able to get a slice of Ethiopia’s booming economy.

World Bank Puts Economic Growth Projection Indonesia at 5.3% in 2018
Still, the World Bank sees plenty of reason to stay positive about the Indonesian economy in the foreseeable future.

Vietnam GDP to Grow by 6.6% in 2018: ICAEW
Vietnam’s GDP is expected to grow 6.6 per cent in 2018, down slightly from 6.8 per cent last year.

IMF Agrees to $50 Billion Deal to Help Argentina’s Economy
Argentina and the International Monetary Fund agreed Thursday on a three-year $50 billion stand-by financing deal aimed at strengthening the South American country’s economy and helping it fight inflation.