Innovative Models for Impact Investing
Financing mechanisms and structures, including social impact bonds
Successful financing mechanisms match investors with different “risk-return-impact” appetites to impact investing opportunities. Steeped in practical insight into what it takes to launch innovative financial instruments, the Deloitte member firms help design and launch products that align with clients’ impact investment objectives. Innovative financing mechanisms include payment for success: products that Incentivize innovation and allow governments to pay only if the initiative is successful.
Stories from the field
A UK organization which delivers programs to provide at-risk young people with work, education, and training, wanted to develop a SIB in the education sector in Glasgow. Deloitte UK conducted a feasibility study calculating the true economic cost of exclusion and truancy in England, Wales and Scotland. Deloitte UK’s ongoing work with the organization to develop an education SIB is an example of the firm’s efforts to develop workable SIBs. The initiative with the organization is only one of many SIB initiatives that Deloitte is supporting globally, across developed and emerging markets.