fund economics

Staking a portion of carried interest on impact performance is still a minority pursuit for GPs, but the arrival of two influential names may cause more managers to have the conversation.

Diane Mak, head of impact measurement and management, said linking impact performance to financial incentives ensures a 'higher level of transparency and clarity', in a video interview at the Impact Investor Global Summit.

The fintech manager hopes to raise $70m-$75m to invest in companies beyond the firm's early-stage sweet spot, according to a market source.

There is not yet a clear answer to the question of whether LPs or GPs pay for additional ESG-related fund costs.

Linking financial incentives to impact performance is increasingly seen as best practice in impact. Jack Isaacs and Ellen Maginnis from verification firm BlueMark, having assessed 84 investors' approaches, describe the various ways of doing it.

The Article 9 fund has a €250m target and will invest in companies that provide solutions for the decarbonisation of real assets.

Pathfinder strategy has raised $10m so far in ‘potential charitable donations’.

Dutch insurer ASR has committed €10m to the Article 9 fund, which links 100% of its carried interest to the achievement of impact goals.

Due to reach a €250m hard-cap by the end of Q2, director Jan-Willem König is optimistic about the fundraising landscape for impact investing

The Article 8 fund hit the milestone two months after launch, following commitments from Allianz insurance portfolios.