ImpactAssets has released its ImpactAssets 50 2020 (IA 50), a publicly available, online database for impact investors, family offices, financial advisors and institutional investors that features a diversified listing of private capital fund managers that deliver social and environmental impact as well as financial returns. Patamar Capital has been selected for its sixth consecutive year.
To continue to shine a light on impact fund innovation, the IA 50 added a new Emerging Impact Manager category, which spotlights newer fund managers that demonstrate potential to create meaningful impact. The inaugural list includes 16 emerging fund managers across a variety of themes and geographies.
“With record applicants and assets under management, the IA 50 continues to reflect the rapid growth and interest in impact investing,” said Jed Emerson, ImpactAssets Senior Fellow, and IA 50 Review Committee Chair. “This year’s showcase includes eleven impact funds with more than $1 billion in assets under management. And to ensure we’re capturing the best future ideas, we’ve added emerging impact managers, who have the hunger, creativity and a willingness to explore alternatives that more seasoned fund managers may not.”
The IA 50 2020 saw a record number of private debt and equity fund manager applications. Managers who met the IA 50’s in-depth review criteria manage an estimated $39.8 billion in assets devoted to creating measurable, positive impact, up from $26.9 billion in 2019. Emerging impact managers direct nearly $400 million into cutting-edge strategies and high impact investments.
This year’s showcase includes:
Investment Targets and UN Sustainable Development Goals: A total of 83% of managers targeted investment in people or places that are under threat or lack access to resources and opportunity, while 64% focused on underdeveloped markets where the market is relatively new, emerging, or subject to systemic challenges. Top UN SDG categories that fund managers focused on included 8 – Decent Work and Economic Growth (68%); 1 – No Poverty (63%) and 10 – Reduced Inequalities (58%).
Diversity and Inclusion: While Wall Street continues to struggle with building diverse teams, 85% of IA 50 fund managers report that 25% or more of their investment professionals are women and/or from under-represented groups, while half have teams with 50% or more women and other under-represented groups. In addition, 75% of firms have 25% or more percent management teams that are women or from under-represented groups.
Impact and Financial Return: Impact fund managers remained focused on delivering both positive impact and investment performance, with 78% targeting market rates or above market rates of return. A total of 97% of impact fund managers delivered either in line or above their initial target returns.
About Patamar Capital
Patamar Capital is a leading venture capital firm focused on South and Southeast Asia’s “mass market.” Founded in 2011, Patamar raised the $45 million “Livelihood Impact Fund” in 2014, which has been fully deployed into 14 companies across the region. The fund realized its first exit through the sale of Mapan to Go-Jek in 2017. The firm is currently raising Patamar Fund II.
About the ImpactAssets 50
The IA 50 is the first publicly available database that provides a gateway into the world of impact investing for investors and their financial advisors, offering an easy way to identify experienced impact investment firms and explore the landscape of potential investment options. The IA 50 is intended to illustrate the breadth of impact investment fund managers operating today, though it is not a comprehensive list. Firms have been selected to demonstrate a wide range of impact investing activities across geographies, sectors and asset classes.
The IA 50 is not an index or investable platform and does not constitute an offering or recommend specific products. It is not a replacement for due diligence. In order to be considered for the IA 50 2020, fund managers needed to have at least $25 million in assets under management, more than 3 years of experience as a firm with impact investing, documented social and/or environmental impact and be available for US investment. Additional details on the selection process are here.
The IA 50 Emerging Impact Manager list is intended to spotlight newer fund managers that may demonstrate future potential to create meaningful impact. Criteria such as minimum track record or minimum assets under management may not be applicable.
About ImpactAssets
ImpactAssets is a nonprofit financial services firm that increases the flow of capital into investments delivering financial, social and environmental returns. ImpactAssets’ $1.1 billion Donor Advised Fund and field-building initiatives enable philanthropists, other asset owners and their wealth advisors to advance social or environmental change through impact investment and philanthropy.