The latest developments in the ESG space.

Snowball Impact Management, C. Hoare & Co
An impact-focused investment fund chaired by a scion of the C. Hoare & Co banking dynasty, has released a 23-page study that raises the idea of linking how asset managers’ remuneration could be linked to “positive impact.”

The B-Corp certified fund, Snowball Impact Management, recommends that Snowball introduces stronger measurement of indirect systemic change and places greater emphasis on stakeholder engagement amongst its fund managers.

The fund’s performance was assessed earlier in 2022 by The Good Economy, an independent impact advisory firm.

Snowball “has developed a market leading approach to embedding impact considerations throughout the investment process,” and Snowball’s industry collaboration, transparency and openness serves as a model for others in the investment sector, the report said.  

The report questioned whether Snowball could link the way its team was incentivised with the positive impact it had achieved. 

“With scepticism rampant and impact- and green-washing a regular and concerning reality, we need accountability and transparency,” Daniela Barone Soares, CEO at Snowball, said.

Alexander Hoare, Snowball's chair, said: “Many of the problems in the news – heat waves, our reliance on fossil fuels, the cost-of-living crisis – come down to the failings of investment activity. Investment no longer serves society, but there is a better way. We are holding our own feet to the fire, and we invite other asset managers to step up and do the same.” 

Among the details of the report, Snowball said it provides detailed feedback to the manager on areas which need strengthening both in terms of reporting practices and impact performance. Figure 5 below (taken from the report) "shows how the impact reporting of one of the managers interviewed by The Good Economy improved year-on-year," the report said.

 

“We believe better data and transparency in impact standards are imperative for mobilising greater capital for impact. We hope to see more impact managers embrace a robust approach to impact verification and share their results in order to drive impact integrity and accountability,” Carli Roth, principal, Innovative Finance at The Rockefeller Foundation, said.

WealthBriefing will also hold its Second Annual Wealth for Good Awards 2023, giving those in the industry the opportunity to demonstrate their commitment to ESG, impact, diversity and inclusion. Find out more here.