“Four stories today, the first two alone are brilliant. Feedback on the encouraging Australian bond in NSW and then we have news of a first German SIB in Augsburg. Encouraging progress all round to put it mildly!”
The Year 1 results of Australia’s first Social Benefit Bond (SBB) have been certified and demonstrate that the Newpin SBB has successfully restored children in foster care to their families and generated positive returns to investors. It has been a success in human and investment terms.
The $7 million Newpin SBB Pilot centres on a performance based contract between the NSW Government and UnitingCare Burnside. As Uniting Care’s Newpin program safely restores children in care to their families or prevents children from entering care, private investment funds (raised by Social Ventures Australia) and savings realised by government supports the operation and expansion of an effective program.
SIB In Augsburg, Germany
In September 2013, the Benckiser Foundation Future launched the first German Social Impact Bond (SIB). Services have begun to be delivered under an innovative service model that brings together a range of organisations and interventions with a track record. The services works with young people who have disengaged from education and employment, to help them enter training or employment.
The targeted outcomes are placement of at least 20 members of the target group into work or apprenticeship for more than 9 months during the timeline of the project. To achieve this goal the service delivery organisations will have to work with approximately 100 young people.
Why Social Impact Investing Is Going Mainstream
Joseph Keefe – PBS
Social impact investing, like betting on companies that are gender diverse or environmentally sustainable, is not just a feel-goody thing, Keefe stresses; it’s about driving better performance over the long run.
How big is social impact, or socially responsible investing, now?
It’s going mainstream, and perhaps the biggest reason it’s going mainstream is because of certain demographics. And I mean women, younger people – so-called millennials – who increasingly want their money to be making a difference. They want a fair return, but they also want to have a positive impact. They want their money aligned with their values. And that, I think, is driving the demand.
What’s The Future For Impact Investing?
Ben Schiller – FastCoExist
If the world is to solve its huge environmental and social problems, it’s going to take more than government spending and private philanthropy. These sources can bring in billions of dollars, but what’s really needed is trillions—the sort of money only business and the markets can provide.
The idea of impact investing–a term originally coined by the Rockefeller Foundation in 2007–is to get at this untapped money. It’s a way of deploying capital both for profit and social purpose.