The global impact investing market topped $500 billion in assets under management at the end of 2018, a report from the Global Impact Investing Network finds.
According to the report, Sizing the Impact Investing Market (16 pages, PDF), more than thirteen hundred organizations currently hold impact investing assets worldwide, of which roughly a fifth (21 percent) are foundations — the second biggest segment after asset managers (64 percent). The remaining 15 percent includes banks and diversified financial institutions, family offices, pension funds and insurance companies, and nongovernmental organizations.
While the amount of impact investments held by organizations is relatively modest, with about half managing less than $29 million each, several organizations manage more than $1 billion each, with the average amount under management roughly $452 million. And when looking at assets under management by organization, foundations represent only 2 percent of the $502 billion in total.
"As the impact investing industry develops, it is critical that we further develop our understanding of the contours of the market — and one of the most important and fundamental data points about any industry is its current size," said GIIN co-founder and CEO Amit Bouri. "This research gives us insight into the current state of the market, and it will also lead to deeper conversations about the market’s future potential."