New ANDE Report Provides Snapshot of the Latin American Impact Investing Sector

September 23, 2020

Impact Investing in Latin America: Trends 2018-2019 provides a snapshot of the impact investing sector in Latin America over the past two years, with particular focus on Mexico, Colombia, and Brazil.

Contact: Natalie Alm
Communications Manager
Aspen Network of Development Entrepreneurs (ANDE)

Washington, DC – The Aspen Network of Development Entrepreneurs (ANDE), a global network of almost 300 organizations that propel entrepreneurship in emerging markets, today released the Impact Investing in Latin America: Trends 2018-2019 report.

The report, available in English, Spanish, and Portuguese, aims to capture characteristics of the impact investing sector in Latin America over the past two years based on a sample of 83 impact investors active in the region. Through institution-level and deal-level data shared by these investors, this report gives a snapshot of where and how capital is being allocated and identifies challenges that the impact ecosystem faces. This is the third such report published by ANDE, following publications in 2016 and 2018; this year it also features profiles specific to Brazil, Colombia, Mexico, and Central America.

“This report helps us understand the advances in the impact investing ecosystem in Latin America. It is an important tool for context analysis and decision making for collective actions in this field,” said Patricia Daros, CEO of the Vale Fund. “This is a move with no return, the pandemic has brought to light the social and environmental vulnerabilities of our current development model and more and more investors are looking at the potential impact of the business, in addition to profit and risk,” she adds.

In 2018 and 2019 the global impact investing market continued to grow, and is now estimated at approximately USD $715 billion. The Latin American market reflects similar trends, though it faces unique challenges and opportunities, and there is relatively little data available to characterize the specific nature of investors and deals in the region.

As data collection began in 2020, the COVID-19 pandemic was just beginning to unfold. This report also provides some initial insights into how the pandemic might affect the impact investing sector in Latin America in the longer term, by adding qualitative perspectives from active investors to the quantitative data covering previous years.

Fernanda Bombardi, Executive Manager of the Entrepreneurial Citizenship Institute (Instituto de Cidadania Empresarial, ICE) in Brazil, noted that “ANDE’s report is very important for the field; it is the only report that presents consolidated data on assets under management (AUM) in Brazil for impact investments. It is also an important tool to understand how these investments are allocated, and what are priority sectors for impact investors. In a way, it presents evidence of what may be an evolution of the field in terms of mobilizing investors.”

The Director of Citibanamex Social Development, Ana Vanessa González Deister, commented: “Citibanamex has been part of ANDE and the Alliance for Impact Investment in Mexico since 2015; for which it has a commitment of several years to promote reflection on this subject. Citibanamex has sought to position and promote the concept of investments that are intentionally aimed at solving social and environmental problems without losing sight of the optimization of financial performance and risk measurement, as well as the verification of the impact. For this reason, we have supported and congratulate ANDE for the preparation of this report, which gives us an encouraging perspective on the progress in the number of transactions and in the amount of capital dedicated to impact investment, for the benefit of the region. ”

For Fundação Grupo Boticário, another organization working in Brazil, the report is a great opportunity to follow the evolution of the impact investing field. “It brings clarity on where and how impact investments are being directed in Latin America. This contributes to positioning our strategy in a way that best supports the business ecosystem that impacts biodiversity conservation in Brazil, which still has a lot of room to grow,” said Guilherme Zaniolo Karam, Business and Biodiversity Coordinator.

Key findings from the report include:

  • The impact investing sector in Latin America showed significant activity in 2018 and 2019. The 83 investors surveyed in the analysis deployed over USD $600 million through 619 deals in 2018-2018.
  • About half of surveyed investors are targeting market-rate returns, while the other half are willing to take lower returns in exchange for greater impact, showing that the impact investment market contains significant diversity in terms of capital expectations and impact profiles.
  • The proportion of locally headquartered investors is increasing: 54% percent of respondents based in Latin America began investing in the region within the last five years, compared to only 33% of those headquartered outside the region. While foreign investors continue to dominate larger ticket sizes, local capital is stepping in and filling the gap in smaller investments for local entrepreneurs.
  • More than 80% of surveyed investors measure their impact, and 70% of investors align their impact measurement and management strategies with the U.N. Sustainable Development Goals. However, most use proprietary tools to measure impact, leaving considerable room for growth in standardization of these practices.

This report was developed with the support of Citibanamex, Fundação Grupo Boticário, Fundo Vale, and the Entrepreneurial Citizenship Institute (Instituto de Cidadania Empresarial, ICE).


About ANDE

The Aspen Network of Development Entrepreneurs (ANDE) is a global network of organizations that propel entrepreneurship in emerging markets. ANDE members provide critical financial, educational, and business support services to small and growing businesses (SGBs) based on the conviction that SGBs can create jobs, stimulate long-term economic growth, and produce environmental and social benefits.

As the leading global voice of the SGB sector, ANDE believes that SGBs are a powerful, yet underleveraged tool in addressing social and environmental challenges. Since 2009, ANDE has grown into a trusted network of almost 300 collaborative members that operate in nearly every emerging market. ANDE grows the body of knowledge, mobilizes resources, and connects the institutions that propel the small business entrepreneurs who build inclusive prosperity in the developing world.

ANDE is part of the Aspen Institute, a global nonprofit organization committed to realizing a free, just, and equitable society.

About Citibanamex

Grupo Financiero Citibanamex, S.A. de C.V. (Grupo Financiero Citibanamex) is the leading financial group in Mexico. Following a universal banking strategy, the Group offers a variety of financial services to corporations and individuals, including commercial and investment banking, insurance, and investment management. Its subsidiaries include Banco Nacional de México, S.A., founded in 1884, which has an extensive distribution network of 1,465 branch offices, 9,519 ATMs and more than 29,682 correspondents located throughout the country. For more information, visit

About Fundação Grupo Boticário

For 30 years Boticario Group Foundation has been one of the main business foundations in Brazil working to protect Brazilian nature. So that biodiversity conservation becomes a priority in businesses and policies, the organization supports actions that connect different players and mechanisms towards the development of solutions to the main socioeconomic and environmental challenges. In addition, Boticario Group Foundation owns two private protected areas in the most threatened biomes in Brazil (Atlantic Forest and Cerrado) – adding up to 11 thousand hectares, an area equivalent to 32 Central Parks.

About Fundo Vale

Vale Fund is a non-profit association created by mining company Vale to promote sustainable development by inducing, connecting or multiplying transformative solutions for societies, markets and the environment. It acts through to strengthen the impact ecosystem, accelerate social and environmental business and create blended finance mechanisms.

About Entrepeneurial Citizenship Institute (Instituto de Cidadania Empresarial, ICE)

ICE is a Brazilian civil society organization whose mission is to articulate transformative leaders to develop initiatives that have positive social and environmental impact in the low-income population. ICE has been working since 2014 to strengthen the ecosystem for impact investing and businesses in the country through coordination of actors to build collective vision and efforts, capacity building on social innovation for systemic change, strategic resource mobilization and advocacy.

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