Social Impact Investing

SOCIAL IMPACT INVESTMENT: BUILDING THE EVIDENCE BASE
6.32 Table 6.3 below summarises the key intermediaries, data-related challenges, as well as some
examples of data sources. Data on intermediaries and transactions can be obtained from different types of
data sources. Transaction data is collected by social banks and wholesale banks such as Big Society Capital
in the UK. Social exchanges have recently been established in some G7 countries such as the UK (Social
Stock Exchange) and Canada (SVX) although the earliest exchanges were developed in other countries.
With increasing deal activity, these exchanges can become an important source of SII transaction data in
the near future. Nevertheless, transactions through social stock exchanges will likely only account for a
small share of total SII activity.
Table 6.3. Summary of types of intermediaries, challenges and data sources
Organisation Type Definition & Data
Challenges
Types of Data Sources
Social banks
Social investment wholesale banks
Community Development Finance
Institutions (CDFIs)
Fund managers & Tax advantage
funds
Social exchanges
Crowdfunding platforms
SII Networks/platforms
DFIs and development banks
Several organisations collecting
data but different types and in
various ways.
Data usually collected to address
investor needs.
Market still in embryonic phase in
most countries.
Identifying the set of
intermediaries can be helpful to
identify all potential players
collecting transaction data
Banks/Wholesale banks
BSC, UK; Bpifrance, France
Funds
Impact Assets; NCIF, US;
Social exchanges
Social Stock Exchange, UK; SVX, CAN
Investor platforms
Impact Base, GIIN; Maximpact;
Engaged Investment, UK
Crowdfunding platforms
Masssolution, US
Networks\Associations
Finansol, FRA; CFDA, UK
Notes: Some examples are provided in italic below each point.
Source: OECD, based on desk research.
6.33 In parallel, the number of SII investor platforms has been increasing in recent years. These
platforms provide a useful tool for investors interested in investing with a social impact. In addition, they
gather information on investees, investors and, in some cases, transactions. Impact Base from GIIN or
Maximpact (yet to become operational) are examples of platforms from which transaction data can be
obtained. Some platforms, such as Engaged Investment in the UK, are not only collecting raw SII
transaction data, but also developing taxonomy with the objective of constructing SII market indexes (see
Box 6.3). In addition, there are specific types of platforms, such as Massolution in the US, that gather
information on certain types of transactions (in this example, crowdfunding), some of which might be
classified as SII.
6.34 Tax can play an important role in the SII market (City of London, 2013). Information on special
tax regimes exists for example in the UK for social impact investment (Social investment tax relief). Tax
offices would, in theory, be able to gather and aggregate such information, based on any tax credits and tax
rebates that may apply. This approach could potentially provide a more comprehensive overview of both
the number and volume of SII deals. However, accessing such administrative data is not always possible
and requires overcoming confidentiality issues.
90 © OECD 2015