Investor Presentaiton

Conclusions & Recommendations Given this scenario, and the tentative signs of a recovery in the general macroeconomic situation in Brazil, investors and those that support the field may consider the following recommendations for action: Increased outreach and dialogue with more traditional investors in the financial markets, to open up new possibilities for fundraising and co-investing. As the more mature funds start to see exits from their equity investments, this dialogue should become easier, making the potential for financial gains clearer to more commercially-minded investors. Increased outreach and dialogue with philanthropic investors. There is growing recognition globally that philanthropic capital can be a useful resource in impact investing, with philanthropic investors often (though not always) willing to accept a combination of more risk, lower returns and/or longer payback periods. Among the investors active in Brazil mapped by this study, only three identify themselves as a "foundation", and only one of these is local. A small number of foundations and institutes in Brazil have begun experimenting with making impact investments directly into start-ups, complemented by research and discussion on the legal, financial and operational aspects. Expanding these pilots could make an important contribution to increasing the flow of capital to seed- and early-stage businesses. Philanthropic investors should also be encouraged to consider investing in impact investing funds to help diversify the sources of capital available to fund managers. Exploring and testing new fund models using more diverse financial instruments and combining different investor profiles. As an example, collaborations are emerging between specialist credit analysts and impact investors to create funds of receivables. New legislation governing platforms for crowd-equity and crowd-lending provides opportunities for experimenting with these tools as a way to complement existing resources available for impact investing. These initiatives will require spaces for dialogue and co-creation between organizations from different sectors with different perspectives on impact, risk, liquidity and timespan. 33

View entire presentation