Schizophrenia is the term described for valuing social investments in today’s impact world….
Trading Social Impact: The Schizophrenia In Pricing Social Value
Uli Grabenwarter – Maximpact
Social impact investing has made it to the forefront of the debate about financial markets and how they can more responsibly serve the sustainable development of society. In June 2013 the G8 Summit in London identified impact investing as a possible means to overcome major societal challenges at national level, in dealing with the aftermath of the global financial crisis, and also as a means of addressing global social disparities.
The emergence of impact investing has set in motion actors along the entire chain of social action, from philanthropists to charities and foundations to social sector organisations, NGOs, public sector actors, social sector financial intermediaries and asset managers and, last but not least, the emerging community of social enterprises.
At the core of the debate among those various stakeholders is no longer the question of what precisely is to be understood by social impact investing, even if differences in the definition of this market space continue to exist. Consensus has emerged that social impact investing seeks to realize concrete societal objectives and requires transparency and accountability from the various actors along the social value creation chain.