At BNY Mellon, our social finance capabilities can help investors intelligently and sustainably finance growth, while creating social dividends that address major global challenges.
Because BNY Mellon safeguards one-fifth of the world’s assets,* we have unique insight into global markets and investors’ needs across the investment lifecycle. We see that a confluence of social and environmental factors from rapid population growth to climate change and constraints on resources are impacting the dynamics of the capital markets. Risk resides where it didn’t before and new opportunities are emerging. Sustainable investments that take a longer-term view can help hedge against risk from these social and environmental forces.
As mainstream investors – from individuals to institutions – continue to seek strategies that allow them to mitigate risk, maximize returns and diversify their portfolios, we believe there’s untapped market potential in social finance.
Social finance describes investment activities that include both financial and significant social and/or environmental impact. These strategies include:
By creating a cohesive social finance framework, we can help open the field to mainstream investors, as well as expand the opportunities for investors specifically interested in building an investment strategy around their social and environmental values. Social finance has increasing value for mainstream investors because it can provide a sustainable set of tools to help manage investment risk, diversify portfolios and support long-term financial performance.
Because we work with corporations, institutions and investors across the investment lifecycle, we can see social finance’s full potential. We bring the breadth of our business to bear in developing and delivering innovative social finance solutions for clients, and our social finance capabilities continue to grow. Through our formalized focus on social finance, we’re harnessing the power of investments to help our clients succeed and effect positive change in the process.
Beyond the services we provide clients, BNY Mellon is driving research to advance social finance and forming strategic partnerships, including innovative philanthropic approaches to fund and invest in systemic change.
* The statement that our company oversees “a fifth of the world’s assets” is based upon the value of assets held in custody reported by the top 51 custodians, as reported by Global Custody.net in March 2014.