What is impact investing? What is the underlying philosophy of impact investment? Why is it gaining momentum now? What does the impact investment space in India look like? How much capital is being invested and who are the major players?
We, at SocialStory, hosted Govind Shivkumar, India Investment Manager LGT Venture Philanthropy at the SocialStory meetup on 30th May, 2014 for a session on Decoding Impact Investment. Watch the full talk here answering all the above mentioned questions and many more insights:
Some highlights of the talk:
When you start giving, you get a lot back. People naturally respond to people who give.
If someone asks you to make a simple decision such as giving one flute that you own to one of the three people who claim it, whom will you choose?
Anne – socialism
People who deserve something should get it. Someone who can play the flute best, should get it as they will bring joy not only to themselves but also to others.
Bob – communism
Treat everyone equally whether or not they have the merits
Carl – capitalism
Whatever I create from my merits, should be just mine. I will not share a piece of it with anyone else.
Equality and justice are different.
8 million people die every year because of poverty i.e 22,000 every day
Half of the population in India does not have access to toilets and the other half is watching a video of how half of India doesn’t have access to toilets on their iPads
If women had primary education, we will save 1 million lives in a year. If women had secondary education, we will save 3 million lives in a year.
- Create a social transformation
- Provide access to justice
- Provide essential goods and services to lower income markets
- Radically innovate on extreme affordability of capital goods
Impact investing has to be commercially viable, socially beneficial and scalable
The global impact investment opportunity is $1 trillion over the next 10 years
Impact investment worth $1.6 billion has been made in India in more than 220 enterprises
Approximately 60% of total impact investments have been made in top 15 enterprises.
Out of 15 exits in the impact investment space in India, 10 have been in the MFI space