 Impact investingSaga Eriksson Chapter 59 in Elgar Encyclopedia of Innovation Management, 2025, pp 227-230 from Edward Elgar Publishing Abstract: Impact investing has emerged as a new way of channelling the resources of financial markets towards addressing major societal challenges such as the climate crisis. As a concept, impact investing means seeking to create positive social or environmental impact alongside financial return, and implies a broadening of the type of enterprises considered viable for investments. This emerges through financial instruments that can take a more long-term, patient perspective, less focused on short-term profits. Impact investment is a new way of enabling funding for companies developing innovative solutions through new types of investment instruments, such as social impact bonds, or through investment in new industries. The concept of impact investing also introduces innovation through reframing the focus of investing to look beyond returns to consider social and environmental factors. This bridges the gap between traditional finance only concerned with returns and philantrophy focused only on social goods and conceding profit. Keywords: Social transformation; Access to capital; Risk-return; Additionality Measurement and reporting; Patient capital (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:elg:eechap:22049_59 Ordering information: This item can be ordered from Access Statistics for this chapter More chapters in Chapters from Edward Elgar Publishing |
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