Impact investing market exceeds $1trn, GIIN will report

The global impact investing market now exceeds $1 trillion in invested capital, the Global Impact Investing Network will announce next week.

Speaking exclusively to New Private Markets, GIIN’s chief executive Amit Bouri said that –while the numbers have yet to be finalised – the the total will exceed $1 trillion.

GIIN conducts annual market research to estimate the size of the impact investing market across public and private markets, although it did not release an estimate in 2021. GIIN estimated the market size as $715 billion in 2020 and $502 billion in 2019.

Among those contributing to the growth of the impact investing market are a number of well known private markets managers, with the likes of Apollo Global Management, TPG Capital, KKR and others raising dedicated impact capital.

In related news, GIIN takes over from the UN-backed International Finance Corporation as the host of the Operating Principles for Impact Management. OPIM, a framework for managing impact capital, was established by the IFC in 2018. Also known as the Impact Principles, it has 163 signatories representing $470 billion in impact assets.

OPIM’s secretariat, Diane Damskey, who manages the requirements for OPIM signatories and the scope of its principles, will transfer to GIIN, said Bouri. There are no plans at present for GIIN’s impact measurement and benchmarking tools to be used for OPIM signatory decisions or to monitor signatories’ performance, said Bouri, and “we have no powers of gatekeeping for OPIM”. OPIM will remain self-funding via signatory fees, he added.

GIIN is hosting its annual impact investing conference in The Hague next week. New Private Markets will be in The Hague from 10-15 October to report on the conference. Are you also attending? Email snehal.s@peimedia.com to meet us.