{"id":24241,"date":"2019-03-04T14:41:10","date_gmt":"2019-03-04T19:41:10","guid":{"rendered":"https:\/\/test.greenmoney.com\/2025\/?p=24241"},"modified":"2020-07-31T15:47:10","modified_gmt":"2020-07-31T19:47:10","slug":"philanthropic-investors-tap-catalytic-capital-to-seed-innovation-scale-progress","status":"publish","type":"post","link":"https:\/\/test.greenmoney.com\/2025\/philanthropic-investors-tap-catalytic-capital-to-seed-innovation-scale-progress\/","title":{"rendered":"Philanthropic Investors Tap \u201cCatalytic Capital\u201d to Seed Innovation & Scale Progress"},"content":{"rendered":"
>> Back to March 2019<\/a><\/div>\n

\"MacArthurOften, the most compelling impact investments are made, not found.<\/p>\n

I have used that phrase over the years to describe how foundations and other impact-focused investors use \u201ccatalytic capital\u201d to support social and environmental progress. These patient, flexible, \u201ccatalytic\u201d investments are able to take on more risk and\/or accept a lower return than commercial capital in order to finance gains that would not otherwise be possible.<\/p>\n

Lessons learned have led to new solutions that fill capital gaps, while also strengthening the overall ecosystem for impact investing.<\/p>\n

The timing is particularly valuable at this point in the evolution of impact investing. Today, there is a sense of great excitement about this work, spurred in part by the entrance of mainstream investment firms and asset managers into the arena. But there are concerns as well. Rapid growth might reinforce a binary view of this work as either purely commercial or purely philanthropic, when many impact investments actually fall somewhere in between.<\/p>\n

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