Asia’s First Outcomes-Based Social Investing System Launched

AVPN, the largest network of social investors in Asia, has launched ImpactCollab, an outcomes-based social investing system, developed with the support of the Monetary Authority of Singapore (MAS).

Tailored for financial institutions, family offices, ultra-high net worth individuals and impact organisations across Asia to facilitate philanthropic giving and impact investing, the system aims to scale philanthropic capital deployment both domestically and globally.

To kick-off the first phase of this three-year initiative, AVPN launched the Social Outcomes Platform, Asia’s first impact data registry, powered by its impact data standards to validate and evaluate social programmes by their cost per result and effectiveness.

The full suite of the ImpactCollab system will also include cross-border capital deployment capabilities to enable data-driven, outcomes-based philanthropic giving and social investing that complies with cross-border regulatory and due diligence requirements. 

The launch of ImpactCollab aligns with Singapore’s strategic goals to position itself as Asia’s centre for philanthropy. As the 2030 deadline for achieving the Sustainable Development Goals (SDGs) draws near, Asia faces an urgent need to bridge a US$1.5 trillion funding gap.

However, the majority of donated philanthropic funds only reach 5% of charities and impact organisations, signalling an urgent need for more efficient capital deployment. According to market research, the impact investing market alone is expected to grow to nearly US$1 trillion in 2027.  

While philanthropists are increasingly keen to contribute more intentionally and effectively, the existing due diligence process remains resource intensive, and knowledge gaps and risk mitigation challenges in cross-border giving are some of the key deterrents that have held back potential donors. The impetus for a transformative system enabling more informed capital deployment towards meaningful change is greater than ever.  

Ability to Verify Social Outcomes

The Social Outcomes Platform is built in partnership with OutcomesX, a social outcome exchange, and provides a neutral, unbiased way to quantify the annual outcomes of what impact organisations do.

The Social Outcomes Platform’s impact data standards make it possible for any impact organisation to verify social outcomes, and enable impact organisations to access capital and funding based on objective and measurable impact results.

More importantly, the platform will provide social investors access to reliable, investor-grade impact data to use in making funding decisions. By creating a common language between capital funders and impact organisations to better align their goals and desired outcomes, this impact data registry strengthens trust and enables collaboration across the ecosystem. 

The system will also offer the critically-needed Know Your Clients (KYC), Know Your Business (KYB), and Know Your Impact (KYI) due diligence resources required for facilitating cross-border philanthropic giving.

Gillian Tan, Assistant Managing Director (Development and International) and Chief Sustainability Officer at MAS, said: “In line with MAS’ vision for Singapore to become Asia’s Centre for Philanthropy, ImpactCollab will facilitate greater cross-border evidence-based and innovative modes of philanthropic giving by providing objective and trusted due diligence and impact measurement tools. Alongside efforts to deepen Singapore’s philanthropic advisory talent pool and the Philanthropy Tax Incentive Scheme, ImpactCollab will support the mobilisation of wealth as a force for good.”

The development of the full suite of the ImpactCollab platform system is currently underway, led by AVPN’s product team on cross-border regulatory and compliance requirements.

The next phase of ImpactCollab will include a broader pipeline of impact organisations, due diligence resources, cross-border donations, impact reporting and management, further enhancing philanthropic giving from wealth holders in Asia towards impact organisations across the region.

ImpactCollab will be made available for AVPN members, financial institutions, family offices and ultra-high net worth individuals in Asia.