Investing to Catalyze Positive Change | #𝐒𝐀𝐋𝐓𝐍𝐘

TL;DR

Family offices discuss impact investing and how it can create positive change while also generating returns.

Transcript

good morning uh i'm steve saltstein i'm the ceo of uh force family office i want to thank you all for joining us today force stands for family office research consulting and events and we are the largest network of investment seeking family offices in the u.s basically what we do is we bring families together to share intellectual capital best prac... Read More

Key Insights

• 🥰 Impact investing is often viewed as a combination of art and science, considering individual family values and goals.
• 🧑‍💼 Family offices prioritize making a substantial impact while also focusing on financial sustainability.
• 🔤 Impact investments can generate significant alpha and are becoming more mainstream in the investment industry.
• 🧑‍💼 The time horizon of family offices makes them well-suited for impact investing, as they can focus on long-term change.
• 👮 Family offices may prefer co-investments to direct investments due to resource limitations and the need for specialized expertise.
• ⚖️ The successful implementation of impact investing requires a balance between financial returns and positive impact outcomes.
• 👶 Crypto investments and carbon credits present new opportunities for impact investing, but there is still some uncertainty around their long-term impact.
• 👪 Families and family offices are increasingly considering the climate change risk factor when making investment allocations.
• 🥹 The regulation of family offices is being discussed due to the increasing power and influence they hold in the investment landscape.

Questions & Answers

Q: How do family offices think about the dynamics of impact investing and asset allocation?

Family offices view impact investing as a combination of art and science, considering factors such as individual family values and the ultimate goal of making a difference. Asset allocation is determined based on the desired impact and the need for financial returns to support philanthropic efforts.

Q: Is impact investing focused on sacrificing returns for positive impact?

The perception that impact investing requires sacrificing returns is changing. Many impact investments now generate equal or greater alpha than traditional investments, and institutions are incorporating impact considerations into their investment strategies.

Q: Can impact investing be considered a global effort?

Family offices engaged in impact investing often have a global focus, investing in technologies and initiatives that can create positive change on a global scale. They partner with organizations and invest in regions that align with their values and goals.

Q: How do family offices decide where to allocate their capital for impact investments?

Family offices have varied approaches to allocating capital for impact investments. They may focus on direct investments or co-investments, considering personal relationships, investment horizons, and the potential for high returns. The goal is to make the most significant impact while also achieving financial sustainability.

Summary & Key Takeaways

• The panel includes representatives from family offices discussing impact investing and their approaches to creating positive change.

• They emphasize the importance of considering individual family office values and goals when determining impact investments.

• The panelists discuss the balance between financial returns and impact, highlighting the need for both in successful impact investing strategies.