Picture the scene: a gathering of 100 leading social enterprises, impact investors, charities and foundations discussing the challenges faced by the social impact community, over two days in February 2017, at Dartington Hall, Devon (an estate promoting personal and societal change, and conservation work). The aim of the event was to come together, discuss and share ideas… and to leave with actionable outcomes.

One of those attending ‘The Gathering’ was Karen Shackleton, an independent investment adviser to local authority pension funds and a non-executive director of Resonance, an impact investment manager. She ran a two-day discussion focussing on the challenges facing pension funds when considering impact investment (investments that intentionally generate both a financial return and a positive social or environmental impact). One of the main barriers discussed by those attending was a lack of knowledge about impact investment within the pensions community. Shackleton pledged to try and address this challenge and launched Pensions for Purpose in October 2017, with colleague Stephanie Windsor.

What is Pensions for Purpose?

Unusually for the investment management industry, Pensions for Purpose is a collaborative, not-for-profit initiative. Impact investment managers are working together to share thought leadership, research, case studies and blogs so that pension funds can access that content easily and in one place. All content is screened prior to being hosted on the platform. Shackleton is firm in her view that the site should not promote specific funds: she wants it to remain an information-only website. She is also keen for the platform to maintain an impact focus but recognises that a pension fund’s decision on impact investment often begins with a discussion around ESG (Environmental, Social, Governance). This has led her to approve some articles which have more of an ESG focus.

Who are the members of Pensions for Purpose?

There are two types of members. The first are Influencers, who pay a fixed annual fee to post content onto the platform. As at end August 2018, there were 29 signed up Influencer members, with others in the pipeline. Interestingly, there is a mix of names. Some are large, global investment houses who are developing their impact investment expertise. Others are smaller, niche players who have been working in the impact sector for many years. Influencers can post as much content as they wish on the platform: some are very active, others are more selective in the pieces that they post.

The second type of members are Affiliates, who join free of charge. These are asset owners (typically pension funds), independent investment advisers/trustees, government bodies and journalists. Whilst most of the articles on the platform are accessible by everyone, there is some content which is Affiliate-only access. When Affiliates sign up, they are given a login which allows them to access exclusive content. As at end August 2018, there were 46 signed up Affiliate members. Most members prefer to remain anonymous at this stage; however, Brunel Pensions Partnership (BPP) and four others have already put a public profile onto the site, with several others considering doing so. BPP’s profile explains that “As an Affiliate of Pensions for Purpose, Brunel is actively able to participate in thought leadership discussions and enhance the general understanding of impact investment within our community and in the wider investment community. In addition, through discussion with other Affiliates, including asset owners, government bodies, independent advisers and journalists, we are able to deepen our knowledge of this important topic for Brunel.” Shackleton hopes that, in time, pension funds will want to be seen to be a signed-up member of Pensions for Purpose, and publicly supportive of impact investment, in the same way as BPP.

How it works  

Each piece of content has a brief, one paragraph synopsis which gives the viewer an indication of the topic. There are tags to allow viewers to filter by environmental impact, social impact, ESG/responsible investment and strategy, and a search button for more specific filtering of content. When a website visitor clicks on the “Learn More” button, they are then usually taken through to the website of the firm posting that content (although some content is hosted on the Pensions for Purpose platform itself). This allows the viewer to explore additional content on the author’s website, if they choose to do so.

Oversight Committee

Shackleton and Windsor are supported by an Oversight Committee of representative Influencer members who meet quarterly. The committee members review the financials, discuss progress to date, and consider ways to improve the platform and how best to engage with new members. Much of the increase in membership to date has been achieved by word of mouth. The committee is currently discussing the most effective approach to deliver workshops and seminars, and is considering ways to increase coverage of impact investment as a topic in the press.

Interest to date

Shackleton has been pleased with the interest in the platform to date. She and Windsor have also set up a Twitter account, a LinkedIn page and a Facebook page to share content when it is posted. Since launching from a standing start, the website has already had over 6,900 hits, and the Twitter account has over 300 followers. Shackleton is now increasingly being asked to speak at conferences on impact investment, under the Pensions for Purpose banner.

Most interest in the platform to date has been in the thought leadership content and the case studies. The case studies include a number of pension funds who have shared their impact investment experiences and Shackleton hopes to share more experiences from other funds in coming months. She believes one of the biggest challenges at the outset for pension funds is how to embed an impact approach into the overall pension fund investment strategy - learning from other public-sector-fund experiences can be invaluable.

Shackleton believes that interest in impact investment will continue to grow. She sees pension funds as ideal, long term investors whose interest in social and environmental issues makes them naturally aligned investors with positive impact goals. She hopes that Pensions for Purpose will become the first port of call as they seek background information to make an informed decision.