Exploring the World of Impact Investing: Our Journey Begins

As we embark on this exciting consulting adventure, it feels as though we're standing at the edge of a vast and uncharted ocean, ready to dive into the dynamic world of impact investing. While we've only had our initial meeting with our client to establish our deliverables, the possibilities that lie ahead are humbling. This post serves as our starting point in our exploration of the realm of impact investing, where we seek to reflect on what we've learned thus far and the path we are about to tread.

Exploring My Aspirations: Before delving into the intricacies of our consulting project, I want to share my personal exploration of life aspirations. Each of us carries a unique story and background that has led us to this point. In my case, a profound fascination with science has been a driving force since my early childhood. My journey commenced with an undergraduate degree in mechanical engineering, where I was captivated by the boundless potential of energy to transform lives and propel technological progress to improve our life being. My work experience in both conventional and renewable energy industries unveiled the dual nature of energy's impact. Accessibility to energy can elevate societies and enhance our welfare, but unchecked sourcing of energy, which has happened for decades, creates a global problem. This realization underscored the importance of incorporating equity and ethical considerations into our pursuit of progress. Beyond addressing inequalities in human living standards, we must also account for the environmental externalities resulting from our economic activities. Thus, sustainability emerged as the central focus of my career aspirations, leading to my enrollment at SIPA Columbia University.

A New Horizon: The Circular Economy Now, as part of the Sustainable Investing Consulting Projects course, I find myself at the forefront of a new frontier I never explored before—the circular economy. While waste reduction often takes center stage in discussions of recycling and reusing, the impact of these practices extend far beyond it. It is imperative that policymakers and industry stakeholders recognize and comprehend the multi dimension impacts of these initiatives. To drive substantial change, we must introduce innovative incentive models that transcend the allure of financial gain. Money is a universally understood incentive. However, there is a novel model, though not universally accepted, that is gaining traction into the world of private corporation. This model promises to be an anchor for sustainability in the world of free market, as it able to include all externalities in economic activities, offering a comprehensive incentive model for supplier and consumer.

Starting Point: Our consulting team has embarked on a thrilling journey alongside a client based in Los Angeles—a Venture Capital firm committed to advancing impact through investments in the circular economy. Their diverse portfolio encompasses various sectors within the landscape. However, our primary focus will be on a Series A reuse/rental company that stands as a pioneer in this innovative business model. Our mission is clear: to construct an impact measurement framework attuned to the distinctive characteristics of the reuse model. This mission was born from the difficulty in measuring impact, particularly on the non-monetary aspects. Impact measurement in this reuse model can be deemed as an uncharted waters where different stakeholders possess their unique methodologies and perspectives. Prior to immersing ourselves in the intricacies of our project, it is imperative that we approach it with impartiality and a profound understanding of our client's needs. By placing ourselves in their shoes, we become more adept problem solvers, ensuring the effective delivery of our final product. This drive us to set our very first phase of the project which is to build proper understanding on the market, regulatory, and internal governance aspect of our client. This will hopefully provide us with enough provision to do the real works ahead.

Anticipating the Learning Curve: As we embark on this consulting odyssey, a sense of anticipation and excitement courses through our veins. The opportunity to collaborate closely with our client and contribute to the future of sustainable investing is a privilege we cherish. We are eager to learn, grow, and confront practical challenges head-on. The path that stretches before us is filled with promise, and we eagerly anticipate sharing our progress as we navigate the intricate world of impact investing. Stay tuned for more updates on our journey as we delve deeper into the enthralling universe of sustainable investing and try our best to create a meaningful and lasting impact.