SAN FRANCISCO, Oct. 10, 2019 /PRNewswire/ -- Impact Labs Inc. announces the release of IMPACT FULL STACK ("IMPACTx"), a software and services offering for investment professionals seeking to modernize the investment experience with impact/ESG (environment, social and governance) factors, tax-efficiency and risk-optimization.
The offering extends beyond impact metrics alone, incorporating all Three Pillars of Responsible Investing℠:
- Returns maximized: after fees & taxes
- Risk optimized: multi-factor diversification & index tracking error
- Impact quantified: greenhouse gas emissions, custom ESG/impact metrics, etc.
Client-Centric Impact/ESG Reporting
IMPACTx is modular, can be white-labeled, and is fully configurable with investor-specific personalization:
- For one client's retirement account, carbon emission and gender equality metrics may be important factors.
- A nonprofit may seek help housing their cash in green bonds.
- Another organization may need a fossil-free direct-indexing portfolio and a custom-tailored benchmark that gets daily-reported + shareholder advocacy.
- A taxable client may seek both tax-optimization and a vegan-friendly portfolio (see Vegemize.com, IMPACTx vegan-themed portfolio simulator).
"IMPACT FULL STACK can take a traditional investment offering from 0-60 with one modernizing solution," says Jason Escamilla, CFA, Impact Labs' CEO. "Advisors build great relationships of trust with their clients. Yet, when it comes to impact/ESG, we find advisors struggle with just the conversation, let alone delivery, on ESG fiduciary duties. We want to help every investment professional better navigate impact/ESG in order to unleash the power of private capital to create a better tomorrow."
By adding expertise in values-aligned investing, traditional advisors can enhance their relationship with existing clients and expand their addressable market for new clients.
"Advisors often underestimate their client's desire for ESG solutions," says Anthony Schmitz, CFA, Investment Strategist at Impact Labs.
64% of Millennials said ESG issues are important to their investment decisions, with Gen Xers not far behind at 54%, and Boomers now at 42%, according to a recent study by Allianz Life.
Schmitz adds, "Advisors that can demonstrate competency in ESG and sustainable investment solutions will be more successful in growing and retaining their client base over the coming years."
Institutional and Family Office Investors
42% of U.S. asset owners now have impact/ESG factors incorporated into their investment decisions, up from 22% in 2013, according to Callan's annual ESG survey report.
"Experienced ESG fiduciaries will tell you the devil is in setting a consistent, workable and prudent investment policy," says Jim Blachman, CFA, Product Strategist at Impact Labs with 15 years of direct-indexing experience, including custom ESG mandates. "ESG investors' goals vary; each requires clear objectives, processes and measurements. One-size-fits-all doesn't work."
To explore the IMPACTx portfolio simulator, where you can "swipe-left" on Big Sugar or weapons, visit CustomESG.com.
About Impact Labs Inc.
We believe in the power of private capital to create a better tomorrow. We designed IMPACTx to help direct private capital in support of a more sustainable world.
With refined software-as-a-service (SAAS) technology built by a team of experienced finance/ESG professionals and veteran product engineering & design technologists, the company's tools are used by financial advisors to build tax-efficiency, factor-tilt, custom values-alignment into investment portfolios while quantifying their impact.
The portfolio generation, simulation, and reporting engines behind IMPACTx were built by more than a dozen engineers and CFA-charterholders from M.I.T., U.C. Berkeley, Georgia Tech and Eastern European Universities.
Jason Escamilla, CFA
Responsible Investing, Redefined℠
Returns: maximized, Risk: optimized, Impact: quantified.
SOURCE Impact Labs Inc.