In the second piece of our two-part series on philanthropy and impact investing, we take a closer look at portfolio implementation best practices for families. In doing so, we outline how families may wish to identify opportunities within sustainable and impact investing (SII) themes. We discuss the broad opportunity set, how to construct and then actively manage an investment portfolio of these strategies, and why families are well-positioned to deploy capital in this space.

In engaging with our family clients around the world, we are often asked for views on how to think about philanthropy versus impact investing and how to best implement a socially and/or environmentally impactful investment strategy. Common themes transcend these topics, but each is distinct, and we will outline our perspective in a two-part series. In this first piece, we discuss some of the motivations behind philanthropy and we review how philanthropy relates to impact investing.