Impact investing

Change the world for the better

Impact investing vs Sustainable investing

Impact investing is actively targeting businesses that do good. The objective is to help businesses invest in activities that have a positive impact on the United Nations Sustainable Development Goals. To qualify for an impact investment a company must adopt strong environmental, social and governance practices. But it also has to make a substantive contribution to climate change mitigation and sustainable resources management like promoting the sustainable use and protection of water and marine resources, adopting an aggressive transition to a circular economy, reducing waste and pollution and protecting healthy ecosystems.

Impact scoring

Our primary focus is on the products and services a company is producing. The company should help the world achieve its sustainability goals. We however do not withdraw companies with high environmental impact as many of them are essential to our day to day life and should be encouraged to lower their overall footprint (water consumption, energy …) and create more sustainable ways to operate.

Defining the way to measure and score impacts per activity is a critical component of our methodology. We follow the recommendation of the Technical Expert Group on Sustainable Finance to design impacts scoring models on top of a very granular impacts taxonomy and knowledge graphs.

Investing in the transition

Financing the transition to a sustainable economy requires vast sum of money ($6 trillion a year according to the United Nations). Impact scoring should encourage a global redeployment of capital towards investments that will have the greatest positive impacts. Investments and innovation evaluations are therefore key components of any impact investing strategy. Our models integrate these factors of transition to identify investment opportunities.

Not only CO2

Greenhouse gases (GHG) emissions are at the center of the attention as global warming is posing an existential threat. However many other factors like pollution, water stress or biodiversity cannot be ignored and should be integrated into impact-focused investment portfolios. All these factors can be aligned with each investor values and priorities (this applies both to institutional investors as well as retail investors).

Ifeane

Our mascot is a sea turtle. Sea turtles have thrived on earth for 100 million years. However, of the seven species of marine turtles found on Earth, six are also listed as vulnerable or endangered by CITES. Many threats to the sea turtles are linked to the ever-growing presence of humans: bycatch due to imprecise fishing methods, beach pollution, marine debris (especially plastic, oil spills) and climate change.

It is ironic that an animal widely revered by humans since the Paleolithic may be destroyed by them. Protecting turtles means sustaining the ecosystems that they rely on for their survival. This is one of the task humans can collectively achieve by making the right decisions and diverting investments toward sustainable goals.

Ifeane V 1.0

We launched the Ifeane platform in partnership with selected clients. Please contact us if you would like to learn more on our product roadmap and schedule a demo.