Lean. Green. PE machine.

Private equity is the most useful investment vehicle to achieve meaningful impact. According to research by Pensions for Purpose, sponsored by Columbia Threadneedle Investments, 43% of those surveyed were allocating to impact funds in the PE space but 60% of those who currently do not, believe it is the best way to achieve positive impact. As such, there would seem to be a lot of spare horsepower to fire the PE engine over the coming months and years. PE managers who are thinking about adding impact funds to the stable of vehicles should consider that investors do not wish to compromise on performance. A solid risk/return profile was the second most cited reason by survey respondents (25%), underscoring the fact that pension funds do not believe impact investing should necessarily mean hitting the brakes on performance.