Family offices are far more active in impact investing than originally thought
Family offices around the world are far more active in impact investing than originally thought, with almost two-thirds (61%) now active in the area or likely to be in the near future, according to the Global Family Office Report 2016.
In a sign of its growing maturity, the wider social considerations of impact investing have even seeped into the traditional investment practices of family offices—two of the single family offices profiled in the report even said social or environmental considerations are now factored into all investment decisions.
Millennials—those born between 1980 and 2000—are reportedly a key catalyst in the move towards impact investing, yet office executives have wised up to the benefits of socially responsible investing with nearly half (47%) responding that it is a more efficient way of achieving impact than philanthropy.
Christopher Lavender, who set up the charitable foundation of the Kadoorie family in Hong Kong in 1997, thinks impact investing is likely to become increasingly important to family offices in the coming years. He suggests it also attracts individuals who may not have previously been engaged in charitable projects.