Investments in social and environmental projects in Italy more than doubled, reaching over 35 million euros
The Italian impact investing market has witnessed significant growth and maturation over the past five years, shifting from a niche practice to a more structured and organized sector. This evolution, particularly in the segment known as "strictly impact" investing, prioritizes measurable social and environmental outcomes alongside financial returns.
According to the Impact Report 2022 by Fondazione Social Venture Giordano Dell'Amore, impact investments in Italy doubled in 2022, reaching €35.4 million compared to €17.7 million in 2021. Over a five-year period, a total of €92.5 million has been invested in impact investments in Italy.
Seven Italian entities are currently active in the "strictly impact" market, including Fondazione Social Venture Giordano Dell'Amore, Oltre Venture, Oltre III, SocialFare Seed, Sefea Impact, a|impact - Avanzi Etica, and Opes Italia.
Fondazione Giordano Dell'Amore, the strategic and operational arm for impact investing within Fondazione Cariplo, invested €8.2 million in 31 subjects, including 6 new investments made in 2022. The organization also invested €5.7 million in 27 businesses, including 12 start-ups.
Marco Gerevini, a board member of Fondazione Giordano Dell'Amore, predicts that the available capital for impact investments made with an 'Impact first' logic could reach €300 million by 2024. The strategic and operational arm of Fondazione Cariplo in impact investing, Fondazione Giordano Dell'Amore, reports that available capital for impact investments in Italy has grown from €46 million in 2017 to €229 million in 2022.
The number of annual investments in Italy has also grown, with 9 investments in 2017 and 49 in 2022. Fondazione Giordano Dell'Amore invested €2.5 million in 4 vehicles.
The Italian impact investing market's growth and maturation mirror broader European trends where impact investing has become a recognized asset class. Key players in this market typically include impact funds managed by major Italian banks or asset managers with a social focus, specialized Italian social impact venture capital firms, platforms hosting social impact investing opportunities, and international impact investors active in Italy, such as those affiliated with the European Investment Fund or global impact funds with Italian portfolios.
The Impact Report 2022 by Fondazione Social Venture Giordano Dell'Amore provides valuable data on the growth of impact investments in Italy over time, offering insights into the market's continuing evolution towards more structured, measurable impact investing practices.
- Marco Gerevini, a board member of Fondazione Giordano Dell'Amore, anticipates that the capital allocated for impact investments with a primary focus on social and environmental impact could reach €300 million by 2024, demonstrating significant growth in the impact investing business sector.
- Key players in the Italian impact investing market consist of impact funds managed by major Italian banks or asset managers, specialized Italian social impact venture capital firms, platforms hosting social impact investing opportunities, and international impact investors, revealing a diverse and well-structured finance landscape for investing in businesses that prioritize both financial returns and measurable social and environmental outcomes.
