In my second blog post as Minnesota Council on Foundations’ Executive in Residence, I cover a few easy ways to begin impact investing.
Lately, many family foundation members have asked me about the best way to get started in impact investing.
An easy, no-risk way to start is to park your investable cash (up to $250,000 is federally insured) in a “do good” bank. Be careful though, some banks claim to do good, but they don’t.
When COVID-19 and the ensuing economic disruption hit, I worried that impact investing would recede as investors sought comfort in old-style investing and social entrepreneurs kept their day jobs. Luckily, my worries were for naught: more investors are interested in doing good and doing well. More philanthropists are looking for innovative ways to address the multiple crises we face: health, economic, racial, civic, climate, and rural. Social entrepreneurs are launching and growing their ideas to address the world's problems. These leaders give me hope!