I took the time to read the Canadian trades union report we highlighted yesterday criticising SIBs. Actually I wish I hadn’t. It is a toxic polemic riddled with bitterness of little merit. Sad that people take so much time to generate negativity when there are so many social problems to address.
To whit, several useful articles today. While we still often have fairly elementary stuff (reflecting what is being published!), the Governing article is interesting and the Scotsman newspaper has some encouragement for philanthropy while there is news of a new report on risks and derisking as well as some discussion of the broader social impact picture.
Happy reading and have a marvellous weekend.
The Promise And Potential Of SIBs
Governing
Deciding which social-services programs to cut and which to save shouldn’t grind government to a halt. By only paying for success, a new funding tool known as “social impact bonds” (SIBs) that is gaining traction across the country shows real promise for moving the needle on longstanding social problems. This funding model gets better results with existing resources, minimizes risk to taxpayers and ends programs that are not working.
Philanthropists Benefit Public & Government
The Scotsman
It’s too early to say if the Social Impact Bond mechanism will genuinely succeed in attracting new capital to invest in preventive programmes, effectively transferring the risk of supporting new approaches to tackling social problems from the public purse to the private investor.
But another interesting model, pioneered in Scotland with support of the Scottish Government is worthy of attention. Public Social Partnerships involve voluntary sector organisations and a public authority collaborating on the design of a service to achieve social outcomes.
Report ‘De-Risks’ Impact Investment To Open Sector Up To Mainstream
blue&green tomorrow
A new report has set out how to de-risk impact investment, which could make the sector more appealing to a wider range of investors.
Shifting the Lens: A De-Risking Toolkit for Impact Investment, was published in January by Bank of America Merrill Lynch and Bridges Ventures.
Impact Investing Defined
Financial Advisor
What exactly is impact investing?
The Global Impact Investing Network, (GIIN) has tackled the definition quagmire and provide a straight-up explanation with core characteristics.