1) Traditional investing to maximize profits, and
2) philanthropy to generate social or environmental good.
The impact investing field grew from the recognition that all investing has impact and existing funding methods that allocated just a small portion of assets to generate good, kept social change endeavors undercapitalized.
By deploying capital in creative ways to enable and encourage positive behavior, investors can enjoy a blended value of financial return and social and/or environmental impact. In turn, changemakers in nonprofits, social enterprises, and traditional businesses can access capital they need, sometimes at lower or more flexible rates.