Mission Related Investing is a powerful and proven way for foundations to expand their impact in areas which match their philanthropic pursuit.
For many years, common practice for a foundation was to grant 5% of its assets to targeted areas that most matched its mission statement. The remaining 95% of the portfolio was invested in various vehicles, often without much thought as to the social impact those investments made. In fact, occasionally the investments were at odds or even in conflict with the stated mission of the foundation. It was in the early 1990s, well into the “SRI (Socially Responsible Investing) era” of investing, that the first discussions of MRI (Mission Related Investing) began. The thought was that if 5% of a portfolio could be granted out and make a difference in a particular area; why couldn’t the other 95% of a portfolio be invested with the same guidance and forethought and generate similar positive social changes?
In 2003, the Investors’ Circle Foundation hosted a workshop on Mission Related Investing. Sara Olsen of the SVT Group and Woody Tasch, former Treasurer of the Jessie Smith Noyes Foundation wrote and edited an overview of the workshop. In the 2003 workshop summary, Ms. Olsen wrote the following:
MRI offers foundations powerful new tools to achieve their missions. The strategy has potentially profound implications for environmental sustainability, international and community development, health equity, education, and many other missions. By applying a rigorous approach to the exploration of synergies between asset investment and grant making, foundation officers can and will unlock the potential of the massive capital resources they control.
Blue Haven Capital focuses on SRI and MRI money management for public and private foundations and their related individuals. We currently offer foundations the opportunity to increase their mission’s impact by investing in one or more specific MRI portfolios: Education, Human Services, Environment, or Health. Additional portfolios may be able to be created depending upon category.
MRI: How it Works
Our unique background and expertise in the fixed income markets enables us to bring you instruments such Mission based CDs, Mission Based Taxable Municipal Bonds and other similar items. Where are your investment dollars going when you buy bonds? Are those dollars supporting a local community redevelopment plan or a new school?
Blue Haven Capital’s Mission based stock research is similarly unique. We have taken and systematically reclassified approximately 98% of the investable U.S. stock market into mission related categories. The stocks are then analyzed using research from firms such as Goldman Sachs, Schwab, Standard & Poor’s, Morningstar, and others to choose the most highly recommended companies in each mission category. Because we are independent, we are able to pull in research from many different firms, enabling us to objectively choose the very best investments for our clients.
The result is a Mission Related Portfolio specifically for a foundation. You have granted out 5% in support of your mission, and with the other 95% of your money, you have bought investment products furthering your ideals. This is the essence of Mission Related Investing, or MRI.
Blue Haven Capital is one of only a handful of independent money managers focusing on SRI, and quite possibly the only independent money manager focusing on MRI. Through MRI you have the opportunity to increase impact in your mission area. Blue Haven Capital welcomes the opportunity to show you how to implement a Mission Related Investment style to further increase effectiveness in your chosen area. We are available via email, phone, or face to face anywhere in the United States.
