When we invest, we expect outsized returns. This is the fundamental paradigm in which we, as venture capitalists, operate in the investment market. It may seem simple, but we can’t expect to continue profiting when our resources from humankind and nature are depleting.
For this reason, rethinking the ways in which we invest is essential. While we invest in portfolios that generate profitable returns, we also need to be intentional and conscious about including investments in sustainable and inclusive growth areas that create paths towards a healthier planet and society.
With a mission to fund a better world, I am often asked what is the ROI?
Data from the Global Impact Investing Network showed that a majority of the estimated US$1.164 trillion (S$1.57 trillion) worldwide impact investment market produced market rate returns in 2022. On average, impact funds have lower volatility compared to non-impact funds.