IMPACTASSETS 50™

An Annual Showcase of Impact Investment Fund Managers

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An Annual Showcase of Impact Investment Fund Managers

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ImpactAssets 50: A Global Landscape of Impact Investment Fund Managers
The ImpactAssets 50 (IA 50) is the first open-source, publicly published database of experienced private debt and equity impact investment fund managers.
https://www.impactassets.org/impactassets-50

ImpactAssets 50

An Annual Showcase of Impact Investment Fund Managers

IA 50 2022 PROFILE

Encourage Capital, LLC

Total Assets Under Management: $100 – 499M
Asset Class: Private Debt - Absolute Return / Notes, Commodities, Private Equity
Primary UN Sustainable Development Goal: 13 – Climate Action
Climate Change
Microfinance and Low-income Financial Services
Water and Sanitation

Firm Overview

Category: Private Equity - Growth Stage (Emerging Markets)

Encourage Capital is a research-driven asset management and advisory firm that seeks to leverage private capital to solve critical environmental and social problems while generating compelling financial returns for our investors. We are backed by a strong investor base of family offices including the family of Roger and Vicki Sant, Capricorn (Jeff Skoll), Armonia (Larry Lunt), and James D. Wolfensohn. We are building a community of investors, market-leading companies, foundations and non-profits to identify and execute investment solutions to the world's most pressing challenges. We work with strategic and financial investors, impact investors, non-profits and development finance institutions across our strategies. Encourage Capital was formed in December 2014 through the combination of Wolfensohn Fund Management, LP ("WFM") and EKO Asset Management Partners, LLC.

Firm Headquarters: United States
Years of Operation: 5 – 9 years
Total Assets Under Management:
$100 – 499M
Total Number of Investors: Between 5 – 25
% of Capital from Top 3 Investors: 25% – 49%
Investment Thesis:

On behalf of our clients, Encourage Capital develops and implements investment strategies at systemic leverage points that deliver financial and impact outperformance.

Investment Overview:

The core of our business model is the development and deployment of Solutions Strategies. The development of a Solutions Strategy starts with the identification of a social or environmental issue, followed by a systemic analysis of that issue. We then seek to deploy capital into companies and projects at points of leverage uncovered by that analysis to achieve meaningful social and environmental impact and delivering compelling financial returns. 

Company Differentiator:

Encourage Capital is differentiated by our outcomes focused, tool agnostic approach. We partner with asset owners seeking to achieve an intentional, strategic and measurable outcome on a specific problem and provide the analytical rigor and investment expertise to achieve our shared goals with commercial investment products.

Investment Example

We recently invested in Electronica Finance Ltd in Pune, India, to help them launch a solar lending program for the industrial SME sector in India. The company is currently a leading equipment lender and working capital provider to the sector and we are investing equity and bringing nondillutive technical assistance capital to accelerate their movement into the solar finance sector. We have brought in KfW, Morgan Stanley and loan guarantees from a major DFI to support the program. This is part of a broader strategy to use the tools of financial inclusion to achieve aggressive climate goals alongside social and community benefit. 

Leadership and Team

Cumulative Leadership Experience in Impact Investing:
30 years or more
Cumulative Impact Experience of Top Three Firm Leaders:
30 years or more
Adam Wolfensohn – Managing Partner More Info

Adam Wolfensohn is Managing Partner at Encourage Capital. Previously, Adam was managing director at Wolfensohn Fund Management and also managed the Wolfensohn family office cleantech and environmental markets strategies. He produced the climate change documentary Everything’s Cool that debuted at the Sundance Film Festival in 2007. From 2002 to 2003, he worked with Conservation International to create a market for carbon credits from avoided deforestation projects. Prior to 2002, Adam composed music for numerous films, television commercials, and theater productions, as founder and CEO of “Red Ramona,” an award winning music and sound design studio in New York City.

Ameya Bijoor – Partner More Info

Ameya Bijoor is a Partner with Encourage Capital. Ameya leads the clean energy finance and financial inclusion team with Cesare Calari. Since joining Wolfensohn Fund Management in 2008, Ameya has been actively involved in the Fund’s investments in Development Credit Bank, National Stock Exchange of India, Repco Home Finance, Ujjivan Financial Services and Fabindia. Prior to joining WFM, Ameya had over 7 years’ experience working in private equity, corporate finance and development. He was a Manager in Standard & Poor’s Transaction Advisory Services practice, where he led financial due diligence investigations for private equity and strategic clients.

Cesare Calari – Partner More Info

Cesare Calari is a Partner with Encourage Capital. Cesare leads the clean energy finance and financial inclusion team with Ameya Bijoor. Before joining Wolfensohn Fund Management in 2006, Cesare worked at the World Bank Group, holding senior positions, including the IFC’s Director of the Africa Department and the Director of the Global Financial Markets Group. From 2001-06, he was the World Bank’s Vice President, and member of the Operations and Policy Committees. In this capacity, Cesare had responsibility for the Bank’s financial sector operations, and was the spokesman in international fora, such as the Financial Stability Board. Cesare also served as Chairman of CGAP, and of FIRST, an international initiative in support of financial sector reform.

Financial Performance

Target Financial Returns Relative to Benchmark:
Market Rates
Actual Performance of Impact Products/Funds Relative to Target Financial Returns in the Past Three Years:
In line with initial target returns
Financial Reporting Frequency to Investors or Donors
Quarterly

Impact Performance

Percentage of Total Assets Under
Management that are Impact Investments:
100%
Primary Impact Outcomes:
Addressing climate change and environmental issues
Alleviating poverty
Conserving land, oceans, ecosystems and natural resources
Creating jobs
Increasing access to financial services
Value-added Services Offered:
Access to markets
Financial literacy training

Investments systematically target companies where social and/or environmental impact is integral to the product/service being created:

Our entire process is based on selecting companies that make contributions to systemic solutions to social and environmental issues.

Investments systematically include social and environmental sustainability practices in the due diligence process:

We use our Investor's KFW and IFC ESG due diligence process on all our investments.

Impact Tracking and Monitoring

Impact is Tracked:
Yes
Impact Verified by an Independent Third-Party:
Social and/or Environmental Impact is Reported to Investors and Donors:
Yes – to investors and donors
Third Party Validations:
Member of Impact Capital Managers
Impact Frontiers Cohort Participant
Implement recommendations from Task Force on Climate Related-Financial Disclosure
Net Zero Assets Managers Initiative
Utilizes standardized impact metrics (e.g. IRIS+, GIIRS, etc.)
Participant on steering committees or leadership roles within impact industry associations
Publisher or contributor to industry white paper or other research in impact investing

Learn More

Key Contact Name: Adam Wolfensohn
Phone: 212-974-1434
Mailing Address:

156 5th Avenue, 804, New York, NY 10010, USA

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