Who is investing in your impact investing fund of funds and are your clients philanthropists?
Our clients are sophisticated investors, either institutions or ultra-high-net-worth individuals.
They are ready to take risks and invest in uncorrelated assets, something completely different in terms of vehicles, liquidity levels, and geographical exposure.
Currently, microfinance funds are not tailored to mass markets. Regulators think investments in countries such as Peru or Cambodia do not suit retail investors, but this is incorrect as volatility remains very low and defaults rarely occur in microfinance.
Motivations differ from one client to another. The market has shown there is no trade-off between performance and social impact.
Social investing and generating returns are compatible. It is not true to say the more social you are in your investments, the more you are comprising returns.
Name: Bertrand Gacon
Title: Head of Impact Investing and SRI / Impact investing fof manager
Company: Lombard Odier
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