ImpactAssets Logs A Record 207 Custom Investment Deals Worth More Than $200 Million in 2020
Impact investments filled the capital gap to help fuel solutions to urgent issues, from racial equity to the COVID-19 pandemic.
BETHESDA, Md., April 21, 2021 /3BL Media/ – ImpactAssets, a $1.5 billion impact investing firm, today released 2020 figures showing a record 207 Custom Investments in private mission-driven businesses, impact funds and nonprofit organizations totaling $203 million. By comparison, the firm made a total of 152 Custom Investments worth $140 million in 2019, and 108 investments totaling $17.34 million in 2018.
“We saw extraordinary growth in Custom Investments activity in 2020, fueled largely by the COVID-19 pandemic, economic disparities and racial justice,” said ImpactAssets CEO Margret Trilli. “Impact investing has played a critical role in addressing the inequities of the health and economic crises by funding needed innovations in COVID testing and treatments and by supporting small businesses and individuals that were not reached by the PPP or traditional philanthropy.”
Since the launch of the Custom Investments program in 2011, ImpactAssets has allocated $413 million in 834 direct investments. The program puts money to work in catalytic, entrepreneurial and socially-conscious investments that offer opportunities for innovative impact and systemic change. It is part of ImpactAssets’ innovative platform enabling clients to increase their impact by adding specific impact investments, in addition to their grant making and other sustainable and responsible investment options, to build a sophisticated philanthropic endowment.
Investments spanned the United Nations Sustainable Development Goals (UN SDGs), covering all 17 UN SDGs in 2020. SDGs that saw the most significant investment included #03 – Good Health & Wellbeing, #08 – Decent Work & Economic Growth and #10 – Reduced Inequalities.
In 2020, Custom Investments also put capital to work in new Black, Indigenous, and people of color (BIPOC)-focused funds, managed by BIPOC founders, including:
- Collab Fund I, LLC, an investment fund creating growth opportunities for Black founders of early-stage startups by providing investment capital and connecting them to corporate and/or social influencers.
- 1863 Venture Fund I, L.P., which seeks to improve the country's economic security and GDP growth, increase community wealth in marginalized communities and mitigate risk for people of color as the future of work becomes questionable for underserved communities.
- Slauson & Co. Fund I, L.P., an early-stage venture fund led by experienced fund managers of color. The firm was created to connect talented founders from underrepresented backgrounds to the venture ecosystem.
- The 22 Fund I, LP, whose mission is to create the clean, quality jobs of the future in underserved/low and moderate-income (LMI) communities by intentionally investing in women and BIPOC-led businesses.
- Zeal Fund I, LP, a fund that seeks opportunity in partnering with diverse management teams in order to reimagine the building blocks of wealth by investing with a focus on achieving equity across low-wealth individuals and communities.
- Raven Indigenous Impact Fund I LP, a fund that focuses on bringing flexible patient capital to invest with innovative, scalable and purpose-driven Indigenous social enterprises in Canada that are at an early-and-growth stage.
Investments also focused on catalytic COVID-19 responses, including cutting-edge molecular diagnostics, biosafety, therapeutics and production of personal protective equipment. Investees included CULTURINTEL, INC., IES Life Sciences, Inc., Epivax Therapeutics, Inc., NeuroRx, Inc., Folia Water, Inc., and Rymedi, Inc.
“Our clients want to align their philanthropic investments with their values, and we are thrilled to be able to support them with Custom Investments,” said Eric Meissner, Director of ImpactAssets Custom Investments and Business Analytics. “It’s critical that capital moves rapidly and fully into impact investing and these private debt and equity investments are funding entrepreneurs who are finding creative solutions to system-level problems and powering a more equitable future.”
ImpactAssets is the leading impact investing partner for individuals, families and philanthropists tackling the world’s greatest challenges by investing in the world’s brightest ideas. We make it easy for our clients to “discover, connect and invest” in game-changing entrepreneurs and funds. Founded in 2010, ImpactAssets increases flows of money to impact investing with our 100% impact investment platform and field-building initiatives, including the IA 50 database of private debt and equity impact fund managers.
The ImpactAssets Donor Advised Fund is an innovative vehicle that empowers donors to increase the impact of their giving by combining it with strategic, sustainable and responsible investing to build a sophisticated philanthropic endowment. The Fund currently has more than $1.5 billion in assets in 1,400 donor advised funds, working with 350 wealth advisors across 60 financial services firms.
Learn more at https://www.impactassets.org/
Mo Shafroth, Momentum Communications Strategy