Highlights from Our Twitter Debate on Financial Inclusion IPOs

Initial public offerings (IPOs) have played an important role in both scaling the financial inclusion industry as well as catalyzing discussions that led to necessary improvements in the industry's infrastructure, regulations, and investor perception and understanding. The range of conflicting opinions about their…

Read More

GIIRS in Practice: Interview with Prospero’s Fund Manager

Fernando Prado, Fund Manager of the Latin American equity fund Prospero Microfinanzas, was interviewed recently about the significance of the GIIRS rating for the fund and its portfolio company ODEF Financiera SA., a Honduran microfinance institution. Prospero, co-managed by Grassroots and BIM,…

Read More

Paved with Good Intentions

  • November 10, 2016
  • Blog

by Paul DiLeo

In the long-running discussions about social impact, there are prominent and respected investors and managers who continue to argue that good intentions, perhaps captured in a robust and compelling mission statement, are sufficient to confirm the impact character of a company. In this view, an impact investor needs to review a company’s stated social goals at the time of investment, but thereafter need only focus on the commercial success of the business, on the assumption that the social benefit will automatically follow from the intent; the company doesn’t need to track and report on its success in achieving its social goals.

Grassroots believes that now that it is 2016, good intentions are a necessary starting point for an impact business, but are inadequate and must be followed up with rigorous management and reporting on outputs and outcomes based on a well-articulated theory of change that takes advantage of the latest research on what works and what does not: identifying indicators, setting goals, measuring progress towards goals, and then using those goals to reassess strategy and operations. In our view, investors who are satisfied with ex ante intentions are inadvertently demoting the impact side of the double bottom line to a secondary and non-critical priority in the objectives of the business. In many cases, it appears that this demotion is due to an outdated appreciation of the current state of impact metrics.

Read More

Grassroots is attending FOROMIC 2016

Anna Kanze and Paul DiLeo will attend FOROMIC 2016, the annual summit of the Latin American financial inclusion industry, from October 24 – 26 in Jamaica.  Grassroots and its partners BIM will host a meeting of the Prospero Microfinanzas Fund's Advisory…

Read More

Grassroots is Conducting Secondary Market Survey

Building on their previous collaboration in launching and managing the Antares Fund, Omtrix and Grassroots are surveying the current state of the secondary market in microfinance and related assets.  Amit Brar is compiling information to determine resources available to investors in liquidating…

Read More

Grassroots is Re-Certified as a B Corp!

Grassroots has been a Certified B Corp since 2009 and Public Benefit Corporation since 2013. GIIRS, which stands for Global Impact Investment Reporting System, provides social and environmental performance ratings and data on high impact funds and companies. Grassroots and…

Read More

Our Guide to SOCAP16!

With over 1,700 attendees already registered and three days full of panels, SOCAP's 9th annual convening in San Francisco from September 13-16 will bring together main stakeholders at "the intersection of money and meaning". We are participating in 4 panels, and will be attending many…

Read More