In: Finance
Define Social Impact Bonds, Corporate Social Responsibility, Socially Responsible Investing, Thematic investing
Social impact bonds are the financial securities which provides capital to the public sector to find projects which leads to better outcomes and savings. Unlike other bonds they do not pay fixed return and the return depends on the successful of the social project. If the project is successful then the investors are paid from savings and if not nothing shall be paid. Hence they are of high risk.
Corporate social responsibility is a business model that helps the company to be socially accountable to its stakeholders and public. It is important for public as well as company. It can be helpful to build a bond between corporation and employees
Socially responsible investing is investment strategy in which the organisation considers both the financial return and also the social advantage.
Thematic investment is creating a portfolio that contain companies which give great market returns in the long term.