VI. The Investor Perspective: Issue Areas of Impact
Impact investors may choose, for the sake of affinity or efficiency, to organize their work according to issue areas. They may care about achieving outcomes in a particular area of impact, or find value in specialization. Regardless of strategic alignment, however, all investors share a fundamental interest in market stability, transparent information, and institutional infrastructure. To the extent that policy interventions produce consequences for investors on these and other critical dimensions of risk and return, investors must understand and respond to changes in the market. I m pa c t A r e a a n d O b j e c t i v e
Agriculture: Environmentally and socially sustainable agricultural production and food systems
Housing & Community Facilities: Access to quality and affordable housing, sustainable and accessible community facilities Financial Services: Financial inclusion for marginalized individuals and industries and small/micro enterprises
Education: Quality education and academic opportunity for all students Health: Expanded access to basic, low-cost preventive and treatment services, particularly among poor and rural populations
Environment: Conservation of natural resources, reduced threats to biodiversity, reduced pollution Energy: Expanded access to clean energy technologies, reduction of carbon emissions, and climate change mitigation
Water: Access to safe drinking water and sanitation, particularly for poor and vulnerable populations; water conservation Source: IRIS
22
I mpac t INVESTING: A Framewor k for Policy Design and Analysis
Drawing on the Global Impact Investing Network’s (GIIN) Impact Reporting and Investment Standards (IRIS) project, and on a market-sizing study copublished by JP Morgan Social Finance, the Rockefeller Foundation, and the GIIN, the adjacent table introduces eight key areas of impact identified by investors working to define the field. To the extent that policy interventions related to a particular area of impact produce consequences for investors, an analysis of how policy affects investment opportunities and outcomes may be useful.