‘Impact investing’ refers to investment with the intention to achieve both a positive social, cultural or environmental benefit and some measure of financial return.  This article asks what will it take for the impact investing market to flourish in Australia? 

• Despite large forecasts, the impact investing market in Australia remains fragmented and immature.
• Challenges exist on both the supply and demand sides which are not helped by an under-developed intermediary market.
• Government has a critical role to play in helping to establish an enabling environment; there are many international initiatives that can be drawn on and learnt from.