NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

Friday, June 9, 2017

There’s a new impact investing financing vehicle social entrepreneurs might want to know about.

It’s also the latest in a series of innovations in the impact investing world, ranging from the Ford Foundation‘s committing up to $1 billion in mission-related investments to new online impact investment marketplaces.

Called Capital Aggregation, it’s a recently launched business line for Calvert Foundation, aimed at mission-driven companies, as well as financial advisors and their accredited clients who are interested in fixed-income impact investment deals.

For accredited investors, the goal is to offer an efficient way  to invest directly in private market, fixed-income deals with measurable social returns, as well as the usual financial ones. “Right now, most accredited impact investors who want to invest directly need to business develop it, underwrite it, paper it, structure it,” says Jennifer Pryce, president and CEO of Calvert. “This makes it a lot easier operationally for investors who can come to us and get access to multiple investments in different areas, geographies and rates of return.”