An interesting day, three contrasting articles on the SIB topic. That Goldman Sachs ‘the great vampire squid’ of finance has endorsed ‘pay for success’ with such gusto, is, as I have said before, a good thing (they are very shrewd) and also a bad thing (they have, with it has to be said some justification, a reputation for behaviour at the uber-sharkish end of the financial/investment spectrum). Thus our first article asks various questions, although I suspect the realpolitik of the world answers at least some of them – aka government is bust and desperately needs to demonstrate results (which is not the public sector’s forte).
Meanwhile David Ainsworth raises six issues concerning SIBs which merits some thought and finally news of Sir Ronald Cohen’s visit to Australia discussing the G8 process for social investment.
Interesting reading all round, have a great day but first, happy reading:
Goldman Sachs: Altruism For A profit
Investment powerhouse Goldman Sachs has made money with schemes that were ingenious, inventive, complex, arcane, morally vacant and, some might say, criminal. Now it hopes to make money by exploiting the dysfunctions of government.
Six Issues With Social Impact Bonds
David Ainsworth – Civil Society
In the space of seven days the government pulled the plug on its flagship Peterborough social impact bond (SIB), then ploughed £30m into a SIB fund for Neets…
…All of this sends very mixed messages.
Australia To Help Drive Global Market For Social Investment
Pro Bono Australia
Sir Ronald Cohen, a global leader in venture capital, is in Australia this week to promote the work of the international Social Impact Investment Taskforce established by the G8.
The Taskforce, which Sir Ronald chairs, was launched in June 2013 to galvanise the development of the social impact investment market. Australia is the only country outside of the G8 invited to become a member of the Taskforce.