Impact Investing

Impact IRR: Leveraging Modern Portfolio Theory to Define Impact Investments ArXiv ID: 2509.22600 “View on arXiv” Authors: Daniel Soliman Abstract The impact investment market has an estimated value of almost $1.6 trillion. Significant progress has been made in determining the financial returns of impact investing. Investors are still, however, in the early stages of determining impact return. In this study, the author proposes the use of impact internal rate of return (impact IRR) to evaluate and monitor impact investments. This approach, which utilizes components of modern portfolio theory, adapted financial tools, and existing datasets, is demonstrated herein through initial use cases and examples showing how it can be employed to optimize impact. ...

Do Investors Care About Impact? ArXiv ID: ssrn-3765659 “View on arXiv” Authors: Unknown Abstract We assess how investors’ willingness-to-pay (WTP) for sustainable investments responds to the social impact of those investments, using a framed field experimen Keywords: willingness-to-pay (WTP), social impact, sustainable investments, framed field experiment, impact investing, Equities Complexity vs Empirical Score Math Complexity: 2.0/10 Empirical Rigor: 8.0/10 Quadrant: Street Traders Why: The paper uses experimental economics methodology with survey data and statistical analysis, but lacks advanced mathematical derivations. It includes experimental design, data collection, and statistical testing typical of empirical finance studies. flowchart TD A["Research Goal: Do investors pay more for social impact?"] --> B["Methodology: Framed Field Experiment"] B --> C["Data/Inputs: Real capital allocations by professional investors"] C --> D["Computation: WTP estimation & impact sensitivity analysis"] D --> E["Outcome: Strong preference for positive social impact"]

Principles of SustainableFinance ArXiv ID: ssrn-3282699 “View on arXiv” Authors: Unknown Abstract Finance is widely seen as an obstacle to a better world. Principles of Sustainable Finance explains how the financial sector can be mobilized to counter this an Keywords: Sustainable Finance, ESG (Environmental, Social, Governance), Impact Investing, Risk Management, Climate Finance, Cross-Asset (Sustainable Investing) Complexity vs Empirical Score Math Complexity: 1.5/10 Empirical Rigor: 2.0/10 Quadrant: Philosophers Why: The text is a conceptual overview of sustainable finance, focusing on economic models, behavioral changes, and policy frameworks, with no advanced mathematical derivations or empirical backtesting evidence presented. flowchart TD A["Research Goal: Mobilize Finance for Sustainability"] --> B["Methodology: ESG Analysis & Risk Management"] B --> C["Data Inputs: Climate Data & Corporate ESG Reports"] C --> D["Computation: Cross-Asset Impact Modeling"] D --> E["Outcome: Sustainable Finance Principles"]