How Impact Investing can Reduce Inequality

I’m pleased to share this TEDx talk (link in comments) on the topics I’ve been working on for the past decade. How can we... - Finance high-quality education to the hundreds of millions worldwide who don’t have access? - Have as much impact as scholarships but with far more scalability? - Eliminate student debt in a fiscally responsible manner? - Improve retraining & workforce development? - Better align social impact & financial returns? - Build upon and solve the challenges with Social Impact Bonds (SIBs) & Income Share Agreements (ISAs)? - Create a world where “opportunity is everywhere” and not just “talent is everywhere”?   These are the questions I focused my Oxford DPhil/PhD on.   As part of that, I developed a new approach that I became convinced should exist. I called this new approach the FORTE Model, standing for Financing Of Return To Employment. Rather than letting the research sit in the Bodleian Library collecting dust, I decided to do what I could to bring this new approach to life.   I’m proud of the fact that over the past few years, we’ve successfully piloted this approach in five countries around the world, helping those who were previously unemployed and without access to education, to get back on their feet, gain financial freedom, and achieve their full potential.   The FORTE Model is not only a new way to finance education that doesn’t burden individuals or governments. It’s also a new way of doing impact investing, a new type of public-private partnership, a better way to drive quality in education, and a way to make philanthropy more effective. I view it as trickle-up economics – let’s help those who are struggling and disadvantaged, and then benefits flow up through the system.   For a long time, the social impact sector has wanted a way to perfectly align social impact and financial returns at a systems level, without a trade-off, so we can mobilize the world’s greatest resources to help the world’s most vulnerable. I believe this is how we can do it.   The work of making high-quality education accessible at scale really matters. It demands large-scale change and doing things differently, not just incremental improvements. I’m incredibly grateful for everyone who has joined as partners in this important work, and together been pioneers of this new approach. To the governments, investors, foundations and training partners worldwide that have been involved so far – thank you. The greatest impact of this work is still to come. But it needs to be a collective effort. I’m not protective of this idea – I'd love for others to adopt it and implement it too. There’s strength and scale in working together. It'd be great if you can share this TEDx talk with those you think may be interested – whether foundations, philanthropists, impact investors, government representatives, or public policy advisors. Please reach out to me if you want to learn more, get involved, or support this in whatever capacity!

Amidst the conversations around bridging climate finance and gender equality, this insightful The Brookings Institution article highlights a key point: increasing access to finance is not enough. As the world focuses on boosting climate finance, a critical gap remains... the lack of attention to gender inequality. Global reform agendas often overlook barriers women face in accessing resources, leaving vital sectors like small-scale agriculture underfunded. At Grameen Foundation, we address these challenges by: 1.Investing in the power of women farmers with climate-smart tools and financing. 2. Creating gender-focused financial products like gender bonds. 3. Promoting community-based resilience through women-led initiatives. 4. Tackling structural under-investment in women-owned businesses through systemic interventions including focus on men as allies. 5. Advocating for greater focus on adaptation finance to benefit women-dominated sectors like agriculture. Climate action must include gender equality to ensure a sustainable and just transition. Let’s work together to make it happen! #ClimateFinance #GenderEquality #GrameenFoundation #InvestInHERPower

There’s a missed opportunity in the investment world: over 95% of capital remains allocated to non-diverse funds. This leaves diverse-led funds undercapitalized, despite their proven ability to outperform. This disparity isn’t just about fairness — it’s about untapped potential. A report from the National Association of Investment Companies (NAIC) highlights systemic barriers: smaller commitments to diverse-managed funds, higher asset requirements and inconsistent support from corporate and union pension funds. These challenges restrict market growth and limit wealth creation in communities that could benefit most. Addressing these disparities is critical to building a more dynamic and equitable financial ecosystem. When diverse leaders manage funds, they bring unique perspectives, broader networks and innovative strategies that drive returns and create lasting economic impact. This mission is personal to me. Throughout my career, I’ve championed initiatives to expand opportunities for underrepresented entrepreneurs and fund managers. By supporting diverse leadership in finance, we not only unlock growth but also help close the #racialwealthgap and foster sustainable change. It’s time to reimagine how we allocate capital — embracing equality as both a value and a strategy. Together, we can fuel innovation, empower communities and strengthen our economy.

"Racial inequity is a 'systemic risk' that threatens all aspects of our economy. The risk is far-reaching and systemic because investors cannot hide from it. No matter where they put their #money, the racist structures of our #economy will limit their returns. Major disparities in income, wealth, #opportunity, and #power – like those between people of color and White people in the U.S. – lead to social discontent, tension, and unrest. Such social instability increases market volatility and uncertainty and creates a general sense of economic instability, limiting investment opportunities across all asset classes.... There are actions investors can take to mitigate this risk and increase the resiliency of our economy. *#Investing in fund managers of color. *Embed racial and economic equity throughout the investment lifecycle. *Be an active owner... *Stand in solidarity with the Fearless Fund. No one wins with growing inequality, and no one should stand alone against unabashedly baseless efforts to prevent equality and fairness for all. #StandinSolidarity with the Fearless Fund. No one wins with growing inequality, and no one should stand alone against unabashedly baseless efforts to prevent #equality and fairness for all... Investing equitably is not about racial quotas or preferences for certain groups. It is about ensuring processes and policies are fair and inclusive, not discriminatory and exclusive. Fair and equitable investing will level the playing field by intentionally advancing fairness and inclusion in a sector that has historically excluded people of color." excerpts from the ImpactAlpha article by Monique Aiken Tynesia Boyea-Robinson William Burckart Mahlet Getachew & h/t to Gillian Marcelle, PhD for making sure this hit my feed! #InspiredByYou, your individual and collective #leadership #advocacy & calls to action Every Single Day! Full article here: https://lnkd.in/ef58JDEq Would add + Be Transparent. Tell people what you are doing so they can follow your lead! #marketing #communications #storytelling #narrative #transparency #accountability #Talent Image from W.K. Kellogg Foundation "Industry Actions for Racial Equity – Investment Management" report linked here: https://lnkd.in/eF-sbSRm #assetmanagement #venturecapital #privateequity #law #policy #impact #sustainability #innovation #business #philanthropy #entrepreneurship #finance #banking #cultureofmoney #MarchonWashington #MarchonWallStreet #FearlessFreedom