We believe impact investing is a genuine source of alpha, diversification, and a social premium
All of our investments have an intentional, measurable positive impact on one of these targeted impact goals, are scalable and provide portfolio diversification. We look for competitive financial returns in impact solutions, rather than looking for impact solutions in financial returns – we believe this approach is critical to preserve the impact integrity of our investments.
Wellbeing
Society
Environment
Our Investment Philosophy
01
Sustainability risks are financially material
Risks such as climate change and social inequality affect the value of financial instruments, now and increasingly over the long term.
02
Impact is the third dimension in investment decision making
Investments are considered through the traditional risk and return lens while focusing on the intentional impact outcomes.
03
Impact must be intentional and measurable
Targeted impact investments can provide competitive returns with positive outcomes, all within a robust and structured risk and performance framework.
04
Investing for the future creates better financial and impact outcomes
Investing for the future through long-term patient capital allows access to opportunities that cannot be captured in the short-term.
05
Deep specialist knowledge provides an investment advantage
Direct investments made with expert knowledge can deliver superior returns and positive long-term outcomes.
06
True impact investments provide diversification
Alternative strategies and non-traditional asset classes can improve risk-adjusted returns. They provide investors with alternative alpha and generate a social premium.
Investment Approach
Long Term Horizon
We invest for the long term, aligning our goals with those of long term asset owners.
Extensive Due Diligence
Our detailed due diligence process seeks to ensure impact and investment objectives are met.
Transparent
Our investment approach and philosophy is transparent and clear. We help impact investments scale by providing stable sources of capital to address societal and environmental needs.
Approach to impact
Connected believes that for an investment to be considered “impact”, it should generate a financial return alongside a positive, intentional and measurable social and environmental impact. Our impact assessment is embedded throughout the investment decision making chain together with more traditional investment approaches. Our impact measurement framework is based on the Impact Management Project’s (IMP) five dimensions of impact:
What
is the outcome that the investment is contributing to?
Who
are the stakeholders that the investment is creating the outcome for?
How much
of the outcome is produced, how many stakeholders are affected, how for how long?
Contribution
to the outcome by the underlying investment.
Risk
that the outcome is different than expected.