We take a total portfolio approach to asset allocation. This approach bridges the not-for-profit and for-profit worlds by generating both financial and ‘extra-financial’ returns, through social and environmental benefits. It encompasses a wide range of activities across the financing spectrum: from grants, to lending to charities, to investing equity in social enterprises, to Sustainable and Responsible Investing (SRI).
The Social Investment Spectrum
Blended Value states that value creation is not an “either/or” proposition wherein one creates either economic returns or social impact, but rather value is whole—organizations have both economic and social aspects of performance; and, by extension, capital is not simply philanthropic or market-rate, but rests along a continuum. Across this continuum, various types of investment offer various levels of financial, social and environmental performance. There is no “trade-off” between doing well and doing good—there are simply different degrees of performance in an integrated capital market. Please go here to read more on these concepts.
Total Portfolio Approach
RS Group is organized around an integrated approach to asset management that seeks to maximize the total performance of its capital under management. This strategy recognizes there are different allocations within the larger capital portfolio (public equity, direct debt and equity, impact investing and strategic philanthropy) and each allocation seeks to maximize an appropriate mix of social, economic and environmental performance; the “right” blend will differ based upon the specific allocation, but the overall intent is to manage all allocations for greatest possible impact.