A new body, the Impact Investing Institute, aims to position the UK as a global champion of impact investing, or using investments to produce returns and also socially and environmentally positive results.
The new body has a mission of encouraging ordinary savers to select pensions and savings products that will benefit issues that they care about. It brings together the UK National Advisory Board on Impact Investing (UK NAB) and the Implementation Taskforce on Growing a Culture of Social Impact Investing in the UK (Implementation Taskforce). The initiative is being led by their two chairs, Sir Harvey McGrath, the former chairman of alternative asset manager Man Group, and Elizabeth Corley, former chief executive and vice-chair at Allianz Global Investors, who have launched a recruitment process to find a CEO for the Impact Investing Institute.
The new institute will be backed by organisations in financial services and the social sector, including private firms, the City of London Corporation and the Department for Digital, Culture, Media and Sport and the Department for International Development. Culture Secretary, Jeremy Wright, commented: “We want to make it as simple as possible for investors to put money into the issues they care most about. The Impact Investing Institute will look at more ways for people to do this, whether you’re an asset manager or pension fund, or an ordinary saver who wants to invest their money to change lives for the better.” And Elizabeth Corley, Chair of the Impact Investing Institute’s Management Board, said: “Investing for positive impact goes beyond avoiding harm and mitigating risks, and is at the centre of a wider movement towards more responsible investing. The Institute will play a significant role in enabling UK savers to invest in line with their values and have increased ownership over the social outcomes that their money generates.” It is estimated that approximately £500 billion globally is now invested in impact investment funds.