Impact indicators inform our investment analysis and decisions at every step of the multi-year partnership with our investees. Our investment analysis, decisions, and actions are driven by the goal to scale reach and depth of positive impact. We use proprietary tools and frameworks to evaluate and measure the social and environmental impact of prospective and current investments.
Billions of people lack access to essential goods, services and livelihood opportunities. LGT Impact aims to overcome this lack of access and opportunities by investing in companies that provide underserved people with high-quality, affordable goods and services as well as livelihood opportunities targeted at their needs and significantly improving their quality of life.
Impact of our portfolio companies in 2016
H.S.H. Prince Max von und zu Liechtenstein, CEO LGT
"We want to be as efficient and transparent as possible in our impact investing efforts. With this objective in mind we have applied many proven principles and processes from the private equity and consulting industry to our approach."
We work closely with our investees and sector experts to continuously collect and analyze impact data informing the theory of change.
Our local investment teams identify and manage our portfolio companies, and use a standardized impact management framework to guide them through the full life-cycle of an investment.
The core of the framework was built on the basis of two highly recognized concepts:
Impact analysis, measurement, and reporting is built into every step of our investment process with the following main stages:
For more details related to our impact management, see here
We work and succeed as partners, striving for a shared vision and mutual goals. Apart from our portfolio companies and LGT, we encourage and engage strong partnerships for:
To enhance the impact management capabilities of our team and portfolio organizations, we collaborate with partners such as the Grameen Foundation and J-PAL in order to gain insights into the drivers for positive impact creation. In addition, we collaborate with leading organizations in the sector to build impact management capacity within LGT Venture Philanthropy as well as our portfolio organizations.
With our investment in M-KOPA Solar, LGT Impact is part of former US President Obama's Power Africa initiative "Beyond the Grid", joining 27 investors and practitioners committing to invest over USD 1 billion into off-grid and small scale solutions for this underserved market, creating access to 20 million new connections for households and commercial entities, and providing electricity to millions of households in sub-Saharan Africa.