How It Compares
Here's how the Impact Security compares with current Impact Bond and Impact Investing options.
The Impact Security is the next generation of Impact Bonds – standardized, transparent and transferable.
The term Impact Bond refers to financings such as Social Impact Bonds, Development Impact Bonds, Healthcare Impact Bonds, Humanitarian Impact Bonds, Environmental Impact Bonds and so on. They are also sometimes referred to as pay-for-success financings.
We believe that the pay-for-success model has not scaled significantly due to the lack of a standardized financial instrument. The Impact Security is our solution.
The Impact Security is the first-ever financial product that explicitly links capital with impact.
Impact Investing refers to a broad spectrum of ways to invest with the goal of achieving both financial and social or environmental impact. However, with most impact investing, financial returns are separate from impact. This means that you could realize high financial returns and no impact or vice versa.
The Impact Security is a new way to invest in a nonprofit organization and realize financial returns.
Despite their role as key drivers of impact worldwide, nonprofit organizations have been left out of the impact investing movement. There are very few ways to truly invest in a nonprofit organization and earn a financial return.