{"id":10497,"date":"2022-03-31T11:23:00","date_gmt":"2022-03-31T09:23:00","guid":{"rendered":"https:\/\/fa-se.de\/?p=10497"},"modified":"2022-04-04T16:53:23","modified_gmt":"2022-04-04T14:53:23","slug":"key-takeaways-from-the-impact-fire-talks-2022","status":"publish","type":"post","link":"https:\/\/fa-se.de\/en\/blog-en\/key-takeaways-from-the-impact-fire-talks-2022\/","title":{"rendered":"Key Takeaways from the Impact Fire Talks 2022"},"content":{"rendered":"

So many burning topics in our IMPACT FIRE TALKS<\/a><\/span> this year: A big thank you to our more than 20 top speakers<\/a><\/span> and around 200 pioneers, movers and shapers who joined us for lively, inspiring and hot discussions<\/span> about how to push the boundaries in impact investing.<\/span>\u00a0Whether it was about providing “better terms for better impact”, ensuring mission alignment with investees (beyond exit), using innovative and flexible instruments (other than plain vanilla equity and debt), or avoiding costly investment biases, there was a true impact fire and energy. Here come the main takeaways plus some resources for those who would love to dive deeper.<\/p>\n

Photo: \u00a9 FASE \/ Impact Design Kft.
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Session 1: Incentivising ventures to achieve more …..impact
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We kicked off with a highly insightful discussion\u00a0 among 40+ impact investors and our experts Kanini Mutooni<\/span> from DRK Foundation, Lucas Tschan<\/span> from iGravity, and Markus Freiburg<\/span> from FASE. The big credo of this session, co-hosted by Martijn Blom<\/span> (EVPA) and Laura Catana<\/span> (FASE), was “trust, alignment and real co-creation”<\/span>. Here are the top takeaways:<\/span><\/span><\/p>\n

(1) Before being able to effectively use impact incentives in deal structures, investors need to get their own impact thesis right<\/span>. They should also firmly align on the end game with their future investees up-front.<\/p>\n

(2) Embedding impact incentives into financial instruments of any kind can be a powerful mechanism to preserve mission alignment<\/span> (e.g. reaching low-income customers) and achieve additionality<\/span>. Social Impact Incentives and Impact-Linked Loans are examples in this pioneering field.<\/p>\n

(3) Building strong coalitions between investors FOR impact and investors WITH impact<\/span> in hybrid finance transactions is another powerful approach, once all agree on outcome targets. Many impact-specific terms such as impact ratchets, steward ownership, or buybacks in case of mission drift are important ways to keep positive impact high on the agenda.<\/span><\/span><\/p>\n

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