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The Holistic Approach to Impact Investing

Impact investing is about much more than financial transactions. Our investments can create lasting, positive change in the world. Recognizing this, we at Chi Impact focus on what we call holistic impact investing. In a recent blog post, Chi Impact co-founder and Chief Investment Officer Enrique Alvarado Hablutzel explains what this means for us as investors and as individuals.
A common question that we get when attending conferences and other events is “What does holistic mean in investing?”. Prompted by this question, Enrique Alvarado Hablutzel, co-founder and Chief Impact Officer of Chi Impact Capital, recently shared his personal perspective on this question in a blog post.
“In my years of navigating the intricate landscape of impact investing, I've realized that it's much more than financial transactions; it's a profound commitment to creating positive and lasting change in the world. The term 'holistic' in impact investing encapsulates the essence of this broader, more encompassing approach.”
Pictured: Enrique Alvarado Hablutzel alongside workshop leaders during their workshop “Foresight Scenarios for the Future of Finance” at the Building Bridges conference.
Pictured: Enrique Alvarado Hablutzel alongside workshop leaders during their workshop “Foresight Scenarios for the Future of Finance” at the Building Bridges conference.


Beyond Financial Returns

Holistic impact investing is the acknowledgment that financial returns are vital to any investment strategy, but it’s far from the only impact an investment can have. Our investment choices can touch lives, empower communities, and heal our environment. “Impact investing should never be confined to numbers; it's about stories, transformations, and the profound ripple effects of our choices. It's about working with your investees as if they were part of you or your own family,” explains Enrique Alvarado Hablutzel.
This philosophy is at the heart of everything we do at Chi Impact Capital – in fact, the H in Chi Impact stands for Holistic! We view the complexity of impact investing as a triad:
  1. Financial Returns: We can measure these tangible outcomes in dollars and cents, providing the capital needed to sustain and scale impact initiatives.
  2. Social Impact: It's the heartbeat of impact investing, where we address societal issues like poverty, inequality, and access to education and healthcare. Each investment should leave a positive mark on society, a legacy that extends far beyond the boardroom.
  3. Environmental Impact: Our investments should tread lightly on the planet, promoting sustainability, reducing carbon footprints, and preserving our precious natural resources. This is our responsibility to future generations.

A Symphony of Values

Holistic impact investing means that each investment decision is more than a financial contemplation, it’s an expression of our values, beliefs, and convictions, reflecting who we are as individuals. Reflecting back on the question that started this discussion, Enrique realized that “impact investing, for me, is not just a professional endeavor but a personal calling. It's about channeling my resources and expertise to make a meaningful difference in the world. The term ‘holistic’ encapsulates this vision—a vision where investments are a vehicle for change, not just profit.”
In conclusion, the holistic approach to impact investing is a path where financial returns coexist harmoniously with social and environmental impact, guided by a set of values that resonate deeply with who we are, and it is exactly what we do at Chi Impact Capital; we stand and embody this essential element of "holistic" impact investing. We are no longer just investors; we are catalysts for change, and every investment we make is a step toward a better, more holistic world.
  • Princess

    20 w

    It's encouraging to see a focus on holistic impact investing at Chi Impact, recognizing that financial transactions can contribute to lasting, positive change.

    4
    • Munene Mugambi

      21 w

      I'm all for investing and creating a great positive change that is felt by more people in our generation and in generations to come

      10
      • Rukia Ahmed Abdi

        21 w

        The concept of holistic impact investing, as articulated by Chi Impact, goes beyond financial transactions, emphasizing a profound commitment to creating positive and lasting change in the world. The acknowledgment that impact investing is more than just numbers aligns with a broader, encompassing approach that addresses societal issues and environmental impact alongside financial returns.

        7
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