March 25, 2024
The 13th annual list highlights impact investing industry maturation.
Impact investment firm Enhanced Capital Group (1999) is proud to be named to the ImpactAssets 50™️ (IA 50) 2024, a free publicly available, searchable database of impact investment fund managers globally. The IA 50, now in its 13th year, is designed to offer a simple way to identify experienced and emerging impact investment firms and explore the landscape of potential investment opportunities across diverse impact areas, maturity levels, and geographies.
This year’s list is composed of 155 impact fund managers selected from an unprecedented 343 applications, a 15% higher submission volume than last year. This growth signals increased interest in the IA 50, alongside expansion and maturation of the impact investing industry at large. The increasing traction also points to a broader shift that embraces impact investing’s critical role in shaping a sustainable future.“As a private lender since 1999, Enhanced focuses on the lower middle market to provide financing solutions to projects and businesses that meet our underwriting standards but lack access to traditional sources of capital,” said Michael Korengold, Enhanced Capital’s CEO. “Our experienced team of professionals has completed deals in 40 states, DC, and Puerto Rico, alongside a track record demonstrating our ability to consistently originate, diligence, and execute transactions throughout the US, all while fulfilling our core impact themes.”
IA 50 2024 key highlights:
- Impact-Linked Compensation on the Rise: 23% of managers tie impact results to compensation, a significant increase from last year's 16%.
- No Trade-Off on Financial Returns: Most IA 50 managers target market rate (43%) and above market rate (31%) returns. 79% of managers met their finance return target, and 21% surpassed their target.
- Climate Investment Focus: 39% of impact investors' primary investment theme is environmental impact, and 25% of IA 50 managers focus on clean energy, making it this year’s most represented impact theme.
- Bridging Equity Gaps for Diverse Beneficiaries: 20% of IA 50 managers invest in financial inclusion to narrow equity gaps by providing critical financial services to elevate traditionally marginalized communities.
- Diverse Fund Leadership: The IA 50 showcases increased diversity, with 60% of applicants having investment teams comprising over 50% women and/or people of color.
“We are deeply proud of this recognition by the IA 50. We recognize the important role capital plays in driving meaningful impact across multiple asset classes,” said Gingee Prince, Enhanced Capital's Chief Impact Officer and Managing Director. “Enhanced focuses solely on investments within our core impact themes, seeking to do our part to advance social, environmental, and economic benefits for communities aligned with the UN SDG targeted outcomes.”
As of December 31, 2023, Enhanced Capital has invested $3.7 billion in impact assets across its Small Business Lending, Impact Real Estate, and Climate Finance Strategies.
About ImpactAssets
ImpactAssets is an impact investing trailblazer, dedicated to changing the trajectory of our planet’s future and improving the lives of all people. We empower impact investors and philanthropists with access to investing opportunities and customized solutions that promote positive change. ImpactAssets has more than $3 billion in assets, working with purpose-driven individuals and their wealth managers, family offices, foundations and corporations. ImpactAssets is an independent 501(c)(3) organization.
Enhanced Capital Group, LLC, and its affiliates, is an Equal Opportunity Provider. Information presented is for discussion purposes only and is neither an offer to sell nor a solicitation of any offer to buy any securities, investment product, or investment advisory services. This is not an offering or the solicitation of an offer to purchase an interest in a fund.