Affirmative Investment Management (AIM): Best Social Impact Investment Manager UK 2022

Affirmative Investment Management (AIM), launched in 2014, invests to deliver mainstream financial return and environmental and social impact. AIM is a dedicated impact fixed income specialist.

The verification review is considered a critical first step in AIM’s investment process. All impact bond issuers and issues are reviewed through a sustainability lens to form the investable universe. From this point the portfolio team then builds portfolio with suitable risk and return objectives, with the final step in the process focussed on impact measurement and reporting.

AIM has developed a data-driven evidence-based impact measurement and reporting process that has garnered media attention and industry awards. AIM has established its own database which captures and compiles granular data on the issuers’ impact as well as the invested projects, which deliver social and environmental impact through mitigation or adaptation.

The CFI.co judging panel was impressed with the proprietary framework developed by AIM for the ESG and impact analysis and verification and initial and ongoing engagement of investments. As markets continue to broaden and become more liquid, AIM says that the verification process will also prove increasingly important.

AIM challenges the way people think about investing, pushing them to consider the social and environmental impacts created on equal par with the economic profits generated. It seeks to promote the impact bond market and amplify positive outcomes through collaborative partnerships with industry leaders. AIM manages over US$1.05bn in AUM (as of May 2022) on behalf of clients globally. The AIM annual impact reports cover over 90% of the portfolio, provide reporting at the individual project level and their portfolios support 15 of the 17 SDGs. AIM’s investments are focused on climate, gender equality, financial inclusion and resiliency among vulnerable groups. In 2020 AIM invested in over 2,551 projects in 165 countries (equating to ¾ of the globe) and avoided 189,219 tonnes of GHG emissions per year, equating to 64% GHG emissions savings, in its global portfolios. AIM’s flagship fund invested in impact bond issues that granted 240 SME loans, immunised 9,240 children and supported 400 students.[1] Affirmative Investment Management wins the 2022 award for Best Social Impact Investment Manager (UK).

[1] Figures for AIM’s flagship fund, the LO Funds – Global Climate Bond, as reported in the fund’s 2021 Impact Report