One of Daniel Taylor’s earliest memories of real estate was asking his dad what “receivership” meant.
Taylor was a nine-year-old in Texas, and the savings and loan crisis barreled through the state like a cyclone. Profligate lending and overbuilding in the 1980s were made worse by an oil bust and a collapse in crop prices. “The Dallas real estate world was wiped out,” Taylor recalled. “I remember people around town losing their houses. I went to elementary school with kids whose dads were in serious financial trouble.”
Insights from the President of Parnassus Investments
By Benjamin E. Allen, President, Parnassus Investments and a portfolio manager for the Parnassus Core Equity Fund
As President of Parnassus Investments, I often think about what responsible investing might look like over the coming decades. The future is anchored in the past, so I believe the best way to begin an answer to this question is with a look back at the early years of responsible investing.
General Motors, The Skillman Foundation and the Cody Rouge Community Action Alliance are collaborating to revitalize and strengthen the Cody Rouge community in Detroit. The groups will amplify collective strengths and capital – both human and financial – to achieve measureable positive change in the neighborhood, which recently announced a strategic, resident-led transformation plan.
GM will invest $225,000 to three nonprofits to support classroom readiness, sustainable employment and neighborhood revitalization, an approach aligning with GM’s social impact strategy for Detroit.
by Sean Tennerson, Program Officer, The Case Foundation
For those of you who know the Case Foundation, we’re bullish on the impact investing movement and the power of private capital for public good. While still a relatively small market, impact investments are surging, with some seeing a trillion-dollar market potential by 2020. Against that context, we do a lot of thinking about what is standing in the way of tipping significantly more interested investors to activated investors.
by Donna Katzin, Executive Director, Shared Interest, a social investment fund that mobilizes the financial and human resources of South Africa’s lowest income communities of color. Since 1994, Shared Interest has helped to create more than 180,000 new small and micro-enterprises, 1.9 million jobs, and 120,000 affordable homes – benefiting 2.3 million economically marginalized South Africans – the majority of them women.
Reprinted from Institutional Investor. Michael Molitor is a Senior Fellow with the Ray C. Anderson Foundation
Norway’s Government Pension Fund Global, the world’s largest sovereign wealth fund, with $860 billion under management, has missed out on $1.9 billion in additional profits as a result of its decision to divest all of its tobacco holdings in 2010. The story that reported this fact, which ran in the Financial Times , goes on to suggest that fund managers should reconsider their investments in tobacco companies, as the sector is generating impressive returns, well above many key performance benchmarks.