blue moon fund

Our Mission Impact Investment Journey

blue moon fund, inc.

bmf’s Travels• 2005– approved a strategic goal 25% of the portfolio

into Mission Impact Investments over 5 years

• 2005- 2007– Scoured the field for examples– Tested the current asset allocation for potential

lower returns from MRI/PRI and/or higher risk– National search for Investment Program Officer– Hired Consultant who proposed the “Big Mama”

Fund

blue moon fund, inc.

bmf’s Travels• 2008– Executed our FIRST MRI debt instrument,

however never funded and allowed to expire

• 2009– Narrowed focus to “Carbon” related projects– Worked with investment advisor to create a

sustainably focused investment fund, bmf will be seed funder for new fund.

– Provided funding to a new forestry/ag fund

blue moon fund, inc.

bmf’s Travels• 2010– Invested in preferred stock for a company which

will be warehoused into the new sustainably focused fund

– First draw made on Forestry/Ag Fund– Commitment made to Wetland Mitigation Fund– Allocated $1M of portfolio for CD/deposit

accounts in “green banks”– Continue to make PRI investments as they arise

blue moon fund, inc.

bmf’s Fundamental Beliefs

• Do not waste your program talent! Involve them in the investment decision

• Partner whenever possible• Know your strengths• Expand reach and expertise through use of

consultants• Be flexible when evaluating opportunity as to

whether it is market rate, program related or a grant. Grow your Grantees!

blue moon fund, inc.

Investment Continuum

blue moon fund, inc.

Take Aways• Investment decisions can be made

collectively by Program and Investment Staff.• Collaboration is good for all • Push the envelope by speaking with current

investment managers about mission impact of current portfolio

• Integration required in all directions• Use your entire toolbox• Just start!

blue moon fund, inc.

Our Dream• That mission impact investing is not a special

class of investments, it is what makes a good investment

• Boards would be acting imprudently if they did not invest according to their mission.

• Businesses are considered unsustainable if they do not operate in a sustainable way within their environment.