MICROCAPITAL BRIEF: GSG Studying Feasibility of $1b Latin America Impact Fund of Funds (LIFF)

The UK-based Global Steering Group for Impact Investment (GSG) recently announced the launch of the Latin America Impact Fund of Funds (LIFF) Task Force, a group of Latin American impact investors that will estimate the potential of LIFF, a fund of funds that would supply debt and equity capital to social impact funds in 20 Latin American countries. GSG defines impact investing as an investment approach that considers societal impact as important as financial returns. If deemed fit for launch, LIFF would aim to raise USD 1 billion from individual and institutional investors. The model would be based on that of the India Impact Fund of Funds (IIFF) and India Education Outcomes Fund (IEOF), which were launched in 2018 by GSG and the UK-based Social Finance Global Network.

Established in 2015, GSG is a network of 19 member countries plus the EU that seeks “to harness the energy behind impact investment to spark a movement around the world.” Each nation-member of GSG has a National Advisory Board working to promote “investment that optimizes risk, return and impact to benefit people and the planet…by setting specific social and environmental objectives alongside financial ones, and measuring their achievement.” Among GSG’s core activities is organizing an annual conference called the GSG Impact Summit.

By Nicholas Galimberti, Research Associate

Sources and Additional Resources

GSG press release
http://gsgii.org/2018/07/gsg-announces-liff-task-force/

IIFF framework
http://gsgii.org/wp-content/uploads/2018/03/Preliminary-Draft_-IIFF-Business-Plan-FINAL.pdf

GSG background
http://gsgii.org/about-us/#aboutgsg

MicroCapital Brief; June 12, 2018; Social Finance Global Network, Global Steering Group for Impact Investment (GSG) Launching Social Finance India; Seeking to Raise $2b for Education, Other Double Bottom Line Investing
https://www.microcapital.org/microcapital-brief-social-finance-global-network-global-steering-group-for-impact-investment-gsg-launching-social-finance-india-seeking-to-raise-2b-for-education-other-double-bottom-line-invest/

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