IDEAS home Printed from https://ideas.repec.org/a/taf/jsustf/v13y2023i2p962-989.html
   My bibliography  Save this article

Impact investing and philanthropic foundations: strategies deployed when aligning fiduciary duty and social mission

Author

Listed:
  • Badri Zolfaghari
  • Geraldine (Dean) Hand

Abstract

This article investigates the factors that prevent and facilitate impact investing strategies for philanthropic foundations to align their capital with their mission. Using qualitative data from foundations in both the US and South Africa, we identify five factors (i.e. mandate and country legislation, internal skills capacities, supporting infrastructure, market capacity and strong leadership) that pertain to the international foundations located in the North, and three factors pertaining to foundations in the South (i.e. understanding of fiduciary duty, the role of financial advisors and tax legislation) which influence the deployment and uptake of impact investing strategies. Findings also suggest that the adoption of a total portfolio management approach is the most adequate strategy to align fiduciary duty and mission, and therefore resolve this ethical tension that can be present in foundations. It concludes with suggestions for future theory and practice.

Suggested Citation

  • Badri Zolfaghari & Geraldine (Dean) Hand, 2023. "Impact investing and philanthropic foundations: strategies deployed when aligning fiduciary duty and social mission," Journal of Sustainable Finance & Investment, Taylor & Francis Journals, vol. 13(2), pages 962-989, April.
    • Handle: RePEc:taf:jsustf:v:13:y:2023:i:2:p:962-989
    DOI: 10.1080/20430795.2021.1907090
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/20430795.2021.1907090
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/20430795.2021.1907090?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:jsustf:v:13:y:2023:i:2:p:962-989. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/TSFI20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.