Building on the success of the initial Impact Investment Funds Conference 2019, ClearlySo has partnered with Octopus Investments and Paul Hastings to launch an online series focused on exploring impact investment across multiple topics at a particularly relevant time. With interest in impact investing surging, the online series will bring together experts across the investment sector to discuss the latest trends and the market responses in a series of topical panel-based fora. These in-depth discussions should be particularly interesting and lively given the unprecedented climate and the experts who will be participating.
The topic of this webinar, the third in our series, is 'The emergence of impact investment debt funds differing approaches and structures in a field previously dominated by equity funds'. Impact investing, as we know it today, has seen an abundance of funds emerge over the past 20 years. After two decades, they are now approaching 1% of globally managed assets. In the UK in particular, many of the funds have been largely equity-oriented, owing to the growth attributes of the underlying investees. More recently, we are seeing a plethora of debt funds, with an impact approach, coming to the market.
Impact investment debt funds address a different variety of needs, both with regard to investors and investees. Furthermore, these funds have been very different in nature and often allow for greater use of tranching than we have seen in the equity funds. These debt funds often have been of greater use in developing markets, where exits for equity investors are more uncertain. Furthermore, debt funds have been dominant ion the area of micro finance, which is one of the most developed impact investment markets.
The panel will discuss specific debt fund vehicles and how they are being structured and utilised to address differing market circumstances.