Treasurer’s Orphan Manifesto

Others have commented on Treasurer Chalmer’s value-based economy essay in the Monthly, calling it an attack on capitalism.

What interests me is the silence from the organisations which Chalmers points to as solutions.

The impact investment community.

There has been nothing of any note. No supporting media that I have seen.

The Treasurer of Australia says that impact investing is a potential solution for major societal challenges and the people who are in that industry say nothing.

Why?

Impact investing is not a sector or a clear cut asset class. It is an intention coupled with an investment strategy for the wealthy among us who can take lower risk-adjusted returns.

The request is now that they carry the challenges of income inequality, housing inequality, climate change and racial discrimination.

Society will also blame these people if their investments do not address the challenges or even exacerbate existing challengers.

Maybe the reason that there is no public celebration is that the Treasurer’s vision brings greater risk than reward for the impact investment community.

This is why the manifesto feels like an orphan.

There are no winners from this approach.

So there are no supporters.