Impact Investing 2017-02-07T08:58:27-05:00

Impact Investing

What is impact investing?

impact investments

imĀ·pact inĀ·vestĀ·ments

NOUN:Ā Investments made into companies, organizations, and funds with the intention to generate social and environmental impact alongside a financial return.

The growing impact investment market provides an Opportunity for AR3C Invest and You.

The AR3C Fund, secured with WEC02 Bond issues, was designed to address the worldā€™s most pressing challenges such as sustainable agriculture, renewable energy, conservation, water, food, energy, housing, transportation, healthcare, and education.

The Impact Program is called WECO2 Parks.

Impact Investing; How AR3Cā€™s WECO2 Bonds Fulfill the Challenge.

Impact investing challenges the long-held views that social and environmental issues should be addressed only by philanthropic donations, and that market investments should focus exclusively on achieving financial returns.

AR3Cā€™s WECO2 Bond impact investing market offers diverse and viable opportunities for investors to advance social and environmental solutions through investments that also produce financial returns in you and others communities.

Many types of investors are entering the growing impact investing market. Banks, pension funds, financial advisors, and wealth managers can now invest in a program that has clear impact indicators to keep their investors motivated.

Use of Impact Metrics over the Lifecycle of an Investment

Metrics can help you to understand choices and trade-offs with regards to impact when making an investment decision. Metrics can also help to determine a potential investmentā€™s fit with your focus and expertise.

Metrics are helpful in identifying and mitigating risk. Existing taxonomies, such as the Global Impact Investing Rating System (GIIRS) and the Impact Reporting and Investment Standards (IRIS), can be used as a component of your risk assessment process.

Increasingly, the limited ability of traditional financial return models to capture long-term value creation is being recognized. Social metrics help to ensure that this value is captured in decision-making.

Once an investment has been made, metrics can be used to track investments to ensure that your financial and social objectives are being met. Metrics can serve as a management tool to ensure that a project/ company/organization is on track to achieve its intended impact.

Metrics can help a project/company/ organization to pivot and improve their model if they see that a financial or social dimension of their business is not being achieved.

Once an investment is complete, metrics can help you to understand and capture the value achieved. This is particularly important if you have specific social impact goals. Metrics identify progress made towards your goals and what portion of this progress you have helped to create.

Metrics allow you to report on and remain accountable to stakeholders with regards to social/environmental value creation. This is particularly important for fund managers who manage other peopleā€™s money on the basis of their ability to achieve social outcomes and for ventures that must demonstrate their impact to their investors.