The Proof is in the Pudding

The bottom-line has been the primary concern of traditional investment strategies. This strategy posits that the best investments are those with the greatest returns. This may be great for our bank accounts, but gone awry this can pose severe consequences for our local, national, and global communities.

Nowadays, more and more companies pursue the “triple bottom-line”: great fiscal returns, good for the planet, and provide positive social impact. Numerous articles document the widespread incorporation of positive environmental, social, and governance principles into corporate operations, and the market responds in turn. The evidence suggests SRI investments perform just as well as traditional investments. In some cases, SRI investments even outperform their counterparts. One question remains: how can one know their investments meet the triple bottom-line?

Fortunately, we have a wealth of tools at our disposal to aid in this daunting task. The natural and social sciences help diagnose the ills facing our society and evaluate the impact of our interventions. A recent article in the Harvard Business Review, Calculating the Value of Impact Investing, presents a metric, aptly named the “Impact Multiple of Money.”

Here at CoPeace, we use these tools to gain a holistic understanding of the companies in which we invest. Our Head + Heart + Math approach empowers us to not only meet the triple bottom-line, but exceed it. With CoPeace, you truly can Grow Your Money for Good.

Jacob Miller is a financial analyst at CoPeace. As a forward-thinking holding company, CoPeace is building a portfolio of carefully selected for-profit companies with measurable social and environmental impact. To learn more about impact investing, check out CoPeace’s Intro to Impact Investing.