HistoryImpact Frontiers emerged out of efforts by diverse investors to more fully incorporate impact into decision-making
Origins
Impact Frontiers originated from Root Capital’s efforts to integrate a third dimension of impact into the two-dimensional ‘efficient frontier’ of financial risk and return. To see if others could do the same, twelve investors joined in the first Impact Frontiers Collaboration, where they translated and implemented the integrated approach across a diverse set of portfolios totaling $15 billion. From these funds’ experience, Impact Frontiers synthesized a set of generalizable steps relevant to a wide range of investors.
As it grew, the initiative migrated from Root Capital to the Impact Management Project, a non-profit forum for building global consensus on how to measure, manage and report impacts on sustainability – thus serving as a natural platform for industry-wide collaboration.
Read about our journey in this interview in Impact Entrepreneur
Our Timeline
Our five-year goal is for investors across all major geographies and asset classes to be able to integrate impact into their investing.
To this end, our strategy of growth through partnerships with industry associations and open-access content is designed to support the greatest possible number of investors to integrate impact into their decision-making as quickly as possible.
2015
2017
2018
2019
2019
2020
2020
2021
2022
Our Timeline
2015
Root Capital implements “Efficient Impact Frontier” Approach
2017
“Toward the Efficient Impact Frontier” published in Stanford Social Innovation Review
2018
First Impact Frontiers cohort launched at Root Capital, within 13 investors applying the approach to portfolios exceeding $15bn
2019
Impact Frontiers migrates to Impact Management Project
2021
Impact Frontiers launches six cohorts, independently and with partners in Asia and Canada
2020
Impact Frontiers cohort concludes “How Investors Can Integrate Social Impact with Financial Performance to Improve Both” published in Stanford Social Innovation Review “Impact-Financial Integration: A Handbook for Investors”
Our Timeline
2015
Root Capital implements “Efficient Impact Frontier” Approach
2018
First Impact Frontiers cohort launched at Root Capital, within 13 investors applying the approach to portfolios exceeding $15bn
2020
Impact Frontiers cohort concludes “How Investors Can Integrate Social Impact with Financial Performance to Improve Both” published in Stanford Social Innovation Review “Impact-Financial Integration: A Handbook for Investors”
2017
“Toward the Efficient Impact Frontier” published in Stanford Social Innovation Review
2019
Impact Frontiers migrates to Impact Management Project
2021
Impact Frontiers launches five cohorts, independently and with partners in Asia and Canada
Our Timeline
2015
Root Capital implements “Efficient Impact Frontier” Approach
2018
First Impact Frontiers cohort launched at Root Capital, within 13 investors applying the approach to portfolios exceeding $15bn
2018
First Impact Frontiers cohort launched at Root Capital, within 13 investors applying the approach to portfolios exceeding $15bn
2018
First Impact Frontiers cohort launched at Root Capital, within 13 investors applying the approach to portfolios exceeding $15bn
2018
First Impact Frontiers cohort launched at Root Capital, within 13 investors applying the approach to portfolios exceeding $15bn
2018
First Impact Frontiers cohort launched at Root Capital, within 13 investors applying the approach to portfolios exceeding $15bn
2022 and onwards
In 2022, Impact Frontiers incorporated the resources developed by the Impact Management Project (IMP)’s community of practitioners, following the planned conclusion of the IMP in 2021. With this transition, Impact Frontiers became a hub where investors can:
- Learn about concepts such as the five dimensions of impact and the four investor contribution strategies;
- See how other investors are integrating these norms alongside financial risk and return into their investment practices;
- Find opportunities to engage with communities of peers; and
- Contribute to the development of norms in areas of practice where standards and guidance do not yet exist.
