Evaluating Islamic Stock Portfolio Weighting Method: Application Of Global Minimum Variance In Indonesia Islamic Stock Market

Investing in stocks can be a smart alternative to saving money in a bank or keeping cash on hand due to the negative impact of inflation. It offers various advantages, such as generating income and safeguarding wealth against inflation. Investing in stocks comes with risks, which can be mitigated through strategic portfolio construction. Multiple methods exist for portfolio weighting, one of the popular portfolio weighting methods is  Global Minimum Variance (GMV) by Markowitz (1952). This research aims to provide evidence about the performance of the GMV Method for Islamic retail investors using the Jakarta Islamic Index as the investment universe. The study analyzes the out-of-sample performance of GMV compared to Benchmark Indexes, which are IHSG, LQ45, ISSI, and JII. The finding of this study provides that constructing an Islamic stock portfolio using GMV help historically able to help the investor to gain a better return compared to ISSI, LQ45, and JII in the overall observation period and earned better returns compared to all benchmark indexes after the Covid-19 Period. Global Minimum Variance also helps the investor to gain better risk-adjusted return compared to ISSI and JII in the overall observation period and after the Covid-19 Period. Therefore, the retail investor could use GMV to construct their Islamic Portfolio to gain better returns than the market

Impact Investing: a primer for family offices

The goal of this report is to help family offices ask the right questions as they contemplate their path into impact investing. It is important to recognize that impact investing may not suit all investors. There will be family offices which conclude impact investing is not appropriate at this stage for them. While we are passionate about the potential of impact investing, we acknowledge the best future for the sector is where each investor can make informed choices about their own best interest. Each investor and investment institution needs to evaluate if impact investing fits with its needs, interests and unique context. It is with that in mind that we offer this report as a resource and tool that family offices can use to begin the conversations internally, to craft and design their own engagement strategy on impact investing with family members, advisers and potential investees, as well as to ensure that not only is their wealth growing in value, but also that their wealth can reflect their values

Unleashing the Potential of US Foundation Endowments: Using Responsible Investment to Strengthen Endowment Oversight and Enhance Impact

A small but growing number of US foundations are investigating or pursuing sustainable and responsible investing approaches -- often employing such terms as mission-related investing or impact investing. They are embracing the notion that in addition to making grants, they can employ investment and shareowner strategies across their assets to help achieve positive societal outcomes and targeted financial returns. This report is designed for foundation staff and trustees who are interested in encouraging their institutions to align a broader portion of their assets under management with their programmatic goals or to factor environmental, social and corporate governance (ESG) issues into their investment decisions to help fulfill fiduciary duties. Practitioners in the sustainable and responsible investment industry who serve foundations, including consultants, research providers, financial advisors, and investment managers, can also benefit from the information and resources in this paper.Using extensive data from primary and secondary resources, this paper presents the current range and state of involvement by foundations in sustainable and responsible investing (SRI) and profiles a number of foundations whose approaches to SRI have resulted in meaningful environmental, social or corporate governance outcomes. It demonstrates that it is feasible for foundations to invest their endowments in alignment with their mission and ESG issues of concern, while at the same time achieving their overall financial goals. This report also details a range of resources, including many that have emerged just in the past few years, available to foundations in their efforts to explore SRI. Last, the report offers recommendations and ideas for foundation officers and trustees to enable them to guide their institutions into this space

From Ideas to Practice, Pilots to Strategy: Practical Solutions and Actionable Insights on How to Do Impact Investing

This report is the second publication in the World Economic Forum's Mainstreaming Impact Investing Initiative. The report takes a deeper look at why and how asset owners began to include impact investing in their portfolios and continue to do so today, and how they overcame operational and cultural constraints affecting capital flow. Given that impact investing expertise is spread among dozens if not hundreds of practitioners and academics, the report is a curation of some -- but certainly not all -- of those leading voices. The 15 articles are meant to provide investors, intermediaries and policy-makers with actionable insights on how to incorporate impact investing into their work.The report's goals are to show how mainstream investors and intermediaries have overcome the challenges in the impact investment sector, and to democratize the insights and expertise for anyone and everyone interested in the field. Divided into four main sections, the report contains lessons learned from practitioner's experience, and showcases best practices, organizational structures and innovative instruments that asset owners, asset managers, financial institutions and impact investors have successfully implemented

Maximizing Impact: An Integrated Strategy for Grantmaking and Mission Investing in Climate Change

With funding from The Surdna Foundation, FSG has developed this report to help foundations identify how various mission investing instruments and opportunities can help them create greater impact. Guided by an expert Advisory Board and based on interviews with more than 50 practitioners from the field, the report provides a framework for foundations to think about how mission investments can create the greatest impact when combined with grants in an integrated program portfolio, with a specific focus on climate change

An Annotated Bibliography of Recent Literature on Current Developments in Philanthropy

As philanthropic organizations play an increasingly important role in societies around the world, the research on philanthropy – from giving and volunteering practices to regulatory frameworks to digital innovations – has also evolved in recent decades. It is important to develop a thorough overview of the relevant scientific discourses and literature on current developments in philanthropy. This will allow researchers and practitioners to enhance the understanding of philanthropy and to improve its practice worldwide. This report provides new insights on current developments and important changes in the global philanthropic landscape, including trends in global philanthropy and its interaction with other sectors of society

Impact Investments: An Emerging Asset Class

Examines the impact investment market landscape, what makes it an emerging asset class, expectations for financial returns, estimates of potential investment opportunities in specific sectors, and risk management and performance monitoring issues

Impact Investing and Inclusive Business Development in Africa: A research agenda

Impact investing aims to create sustainable social and environmental impacts for investee enterprises and communities as well as adequate financial returns. As an attractive emerging market investment strategy, it involves development finance institutions and philanthropic foundations partnering with mainstream private venture capital to create impact funds with the goal of catalysing inclusive market-based enterprise development in low income countries. In this paper, we present findings from a scoping study discussing the nature and operations of impact funds in African economies and the associated research opportunities on this topic. To facilitate the assessment, we reviewed the existing literature on impact investing, considering this along three interrelated perspectives, namely 1) impact investing as development finance policy for economic development, 2) impact investing as a development in socially responsible investing, and 3) impact investing as capacity-building for inclusive business development in African economies. The interplay of these perspectives shapes the constitution and operational strategies of specific impact funds and provide a conceptual context for understanding impact investing at country level. Drawing on interviews, email exchanges and roundtable discussions with representative global and country-specific (Sierra Leone, Cameroon and Kenya) stakeholders our analysis makes three contributions to the impact investing debate. First we explore a model for understanding the ways in which impact funds are being channeled into inclusive businesses in Africa and the associated catalytic effects on poverty alleviation, social and economic development. Second we identified and tested access to, a range of impact funds and associated sector-specific inclusive businesses for future case writing – hopefully ‘failures’ as well as ‘successes’. Finally, we reflect on some of the unanswered managerial and policy-related questions that require a more rigorous inquiry-led appraisal to better understand and enhance the contribution of impact funds to inclusive business development in Africa

An Assessment of the Impact Investing and Social Enterprise Ecosystem in Virginia

In a study that spanned more than four months from April through August of 2016, the Virginia Impact Investing Forum surveyed nearly 200 stakeholders and held dozens of personal interviews and focus groups with thought leaders across the state. The goal was to map Virginia’s Impact Investing and Social Enterprise ecosystem and to determine the next steps necessary to the continued growth and prosperity of this emerging field. Results show that there is strong interest in seeing Impact Investing and Social Enterprise development flourish throughout Virginia, as evidenced by concerted efforts from across all three sectors to promote this ecosystem, including bi-partisan government actors, private equity firms, foundations, and entrepreneurs. One general theme that has emerged in conversations and survey responses around Impact Investing is the tension that often exists between prospective Impact Investors and Social Entrepreneurs, and while this research does not seek to solidify answers to some of the most pressing questions that create these tensions, it does make a key point: Impact Investing has the potential to be something entirely different from philanthropy and investing, something that has the power to reshape longstanding economic barriers between one’s wallet and one’s heart, by fueling the creative fire behind social innovation and breaking down the walls between the traditional public, nonprofit, and private sectors - And that is something worth celebrating, and worth continuing to fight for

Return on Equality: Investment Opportunities that Help Close the Global Gender Gap

There is significant opportunity for individual investors, asset managers and companies to move closer to achieving the goal of gender equality and make direct social, market and global economic impacts, according to a compelling report launched today by BNY Mellon and the UN Foundation.The report, Return on Equality: Investment Opportunities to Help Close the Global Gender Gap, reveals new insights that underscore the urgency and opportunities for closing the global gender gap and proposes steps investors can take to advance progress towards the United Nations' Sustianable Development Goal 5: Achieve gender equality and empower all women and girls." "We not only have a moral imperative to bridge the global gender gap, but the potential market benefits and investment opportunities in doing so are pivotal," according to Michael Cole-Fontayn, Executive Vice President, and Chairman of Europe, Middle East and Africa (EMEA). "Companies engaging in 'gender-lens' investing have typically supported women-led businesses and those promoting gender diversity. However, there is an increasing need to focus on the third (and less common) type of investing, in companies that advance gender equality through their products and services."Investors can now pursue these three gender-lens investment strategies through a variety of investment vehicles, including index funds and exchange traded funds (ETFs), venture capital and private equity opportunities, and innovative financing structures, such as private debt vehicles. However, investment vehicles related to products and services that advance gender equality are far and few in between.The five sectors examined in this report that present investment opportunities in products and services and further the advancement of women have an estimated market impact nearing U.S. $300 billion alone in incremental annual opportunity globally by 2025. They include telecommunications, contraception, childcare, water and energy