ABSTRACT

For-profit organizations may focus on the financial impacts of their social investments—making sure that these investments is consistent with the organization's brand and stakeholder interests. The importance of the problem and the value the investor can contribute to solving the problem are key considerations. Reflecting on priorities in this manner will help investors to balance investors’ investment portfolio and to ensure that it continues to match investors’ priorities. When the target for change involves people, the selection of socioeconomic status can also be important, and investors may decide to focus on the destitute, the poor, the middle class, or other groups. Depending on their investment goals and values as well as on the resources they plan to invest, investors may pursue various investment strategies. Markets for Good believe that if the structure of the social sector is strengthened, then there could be a better information flow among the organizations that could potentially generate much greater impact.