Flow of influence: a solution for those with the agility to be able make measurable impact
After doing a vast amount of research into the sustainable investment ecosystem, interviewing everyone from climate change experts, to venture capitalists and even a seaweed farmer in Vietnam, it was a conversation with an impact investor that showed the path to a possible solution.
He suggested that if I wanted to solve for fundamental issues surrounding sustainable investment - I should follow the flow of influence. Design a solution for those who have the most influence in the system.
If we look at the top of the system, we find what is often called the 1%, and in financial circles referred more technically as Ultra High Networth Individuals.
They are increasingly part of the next generation, who are due a 4 trillion USD transfer of wealth with in the next 5 years, and want to invest up to 32% of their investment portfolios into sustainable ventures.
But defining and sourcing sustainable ventures isn’t easy, and neither is measuring impact over time.