Impact investing, which aims to generate measurable social and environmental impact as well as financial return, is a wealth management buzz term right now. Yet while wealthy individuals and foundations are drawn increasingly to impact investing to advance their social missions, it is creating a few tensions in the philanthropic community. Some argue that impact investment does not always complement philanthropy and could even harm it. Others say it cannot replace donations.
Sarah Murray explains on this article from the Financial Times (subscription may be required).