As a society, we have markets for goods and services, like shopping malls and online retailers. And we have markets for gain, like the capital markets. These markets work in large part thanks to an information ecosystem that equips buyers and sellers with the insight they need to make decisions.
At Liquidnet, we’ve created greater efficiency in the capital markets by building a trusted global network and using technology to give more than 740 of the world’s leading asset managers access to large-scale trading opportunities in 43 markets around the world. With Liquidnet for Good, we’re leveraging this expertise and our knack for innovation to help make the work of the social sector more efficient and effective, too.
Helping to Improve Philanthropy
Information to Drive Social Impact
Let’s face it, markets are not perfect. “Market failures” are part of the reason why the social sector is so critical to a thriving society. In the US alone, there are approximately 1.5 million nonprofit organizations, and over $300 billion is donated annually. But these people and organizations require capital to do their work, and the efficient flow of capital requires the flow of information. Markets for Good is a partnership between Liquidnet and the Bill & Melinda Gates Foundation to explore how the social sector can better generate, share, and use data and information to improve decision making. We aim to use the best aspects of market dynamics – feedback loops, structured data and information, and common metrics – to help maximize the impact of philanthropic funding.
Philanthropy. Open for Improvement.
Private foundations with at least two paid staff control nearly $40 billion of annual giving in the U.S. We believe that this money can have an even bigger impact if foundations foster more openness between and among themselves, their grantees, and the people they seek to help, and share what they learn. That is why Liquidnet has joined the Fund for Shared Insight a collaboration that pools financial and other resources to make grants to improve the practice of philanthropy. Shared Insight emerged from our belief that foundations will be more effective and make an even bigger difference in the world if they are more open – if they share what they are learning and are open to what others want to share with them, including grantees and the people they seek to help.
Accelerating Impact Investing
Impact investments seek to generate a financial return, just like any other investment, while also creating measurable social or environmental value. Liquidnet is working to help accelerate the practice of impact investing through programs and partnerships that build the capacity of this emerging field.
Equipping the Next Generation of Impact Talent
Liquidnet helped develop The MIINT (MBA Impact Investing Network & Training), an experiential education program where students at US business schools are given the opportunity to source and conduct diligence on early stage impact investments in order to learn how to think like an impact investor. To date hundreds of students from leading business schools have participated, gaining real-world practice in the investment process.
Fostering a Knowledgeable Sector
From SOCAP in San Francisco to Impact2 in Paris, Liquidnet supports gatherings that bring together investors, social entrepreneurs, and policy makers who are actively building the impact investing field.
Liquidnet has also been helping with ImpactAlpha, a media platform covering the impact investing market, and ImpactSpace, an open database tracking the people, companies, and funds in the marketplace.
Building a Movement of Impactful Companies
Every company has its own profile of assets and core strengths. Whether it’s the most talented people in an industry, money to deploy, a distribution network, or an impressive network of contacts, that resource or ability can also be leveraged to do good for society. Besides striving to carry out this mission within our own offices, Liquidnet is building relationships with other progressive companies who are attempting to leverage their core assets and strengths to make the world a better place. We believe that a company does more good when it creatively deploys all its assets – not just financial capital – to address social challenges. Get in touch to get involved.