Today Carole Crist is answering some of your most frequently asked questions about impact investing!
Impact Investing – Carole Crist Answers Your Top Questions
Q: What is Impact Investing?
A: Impact investing is making an investment in someone or something that is dedicated to creating social change. An investment in a company dedicated to bringing about social change has multiple benefits for the investor.
Firstly, impact investing is simply a way for you to invest capital that you would be investing anyway, but to use that investment to promote social change. The social change promoted through your investment is change that can benefit a larger group of people and help to make society a better place in general.
Secondly, making an impact investment increases your reach and diversifies your investment portfolio. There are many impact investment opportunities in so many niches that the world really is your oyster. You can support local change, national change, global change. You can support a cause that is near to your heart or you can simply invest in something because you believe in it! Any way that you choose to make an impact investment, you are helping to make the world a better place.
Q: Can I Make an Impact Investment?
A: Yes! There is so much opportunity out there when it comes to impact investing, the tricky part is matching up your needs with the needs of someone looking for an impact investor! One of the best ways to do this is to use a trusted intermediary like Carole Crist.
Carole has a vast network of impact investors and individuals seeking impact investments. By matching up people within that network, she has made many dreams a reality for a great deal of people. If you are looking for an opportunity to make an impact investment or if you are interested in finding impact investors for your socially beneficial program, contact Carole today!
Q: What is “Impact” Anyway?
A: When we talk about “impact” investing, we are talking about investing in someone or something that is designed to have an impact on populations who need assistance or designed to have an impact on a societal problem that needs attention.
Impact investments are designed to “do good” or “make positive change” whether for a group of people or whether for society as a whole.
Q: Is There a Future in Impact Investments?
A: Yes! In fact, impact investments are becoming increasingly popular among investors because there are so many companies out there looking for the right investment opportunities that can help them to not only grow, but also to have a more positive influence on society!
Q: What Can Impact Investments Do For Me?
A: As an investor, impact investments hold plenty of potential for you! Firstly, you have the opportunity to truly diversify your portfolio. Secondly, you have the chance to get in on the “ground floor” – as it were – by investing in a brand new opportunity that has the potential to change the world for a percentage of the population or for the entire human race!
Of the many investors and impactful companies that Carole Crist has matched up over the years, a vast majority have gone on to reap rewards from their investment, not only in terms of financial gains, but also in terms of enacting and helping to facilitate change that stands to benefit a significant number of people in the community!
Q: I’ve Heard Impact Investments Being Referred to as “Socially Responsible Investments,” What Does That Mean?
A: “Socially responsible investments” or “SRI” are not the same as impact investments! In fact, there are three major types of investment in the sustainable investing ecosystem.
- Socially responsible investments
- Environmental, social, governance (ESG) risk factors
- Impact investing
Socially responsible investments are when investors use divestment, screening and exclusion, shareholder activism and positive reinvestment to get positive environmental or social outcomes. This type of investment is most common in public markets and all investors can access this investment option.
Environmental, social, governance (ESG) risk factors are more applicable to public market funds, but private market is beginning to adopt this framework too. ESG uses specific metrics to determine the outside risks beyond financial accounting of a company.
Impact investing is most prominent in investments made in private markets and access to this kind of investment is limited. This type of investing is investing with the aim of achieving both social and environmental change as well as obtaining financial returns on your investment.
Are You Interested in Impact Investing?
If you are interested in learning more about impact investing or are interested in making an impact investment yourself, Carole Crist can advise you. Get in touch through any of the social media channels at the bottom of Carole Crist’s website!