Keynote presentation from the Sustainable Business Conference at the Telfer School of Management at the University of Ottawa on the trajectory and opportunity of social finance, including personal motivations, the economic, social and environmental necessity of social finance, a background on the concept with real life examples, and a vision for the future.

1. 3rd Annual Sustainable Business Conference University of Ottawa, Telfer School of Management Social FinanceTrajectory and Opportunity

2. Summary Motivation Imperative Opportunity Description Vision

3. Motivation

4. Adam

5. Ravenscraig Mill, Glasgow

6. Hamilton, Ontario

7. My Career

8. Imperative

9. We are faced with seemingly intractable social and environmental problems at a global and local level.

10. Our Challenges: 1. Poverty 2. Climate change 3. Government debt 4. Economic transition

11. Sandy Lake First Nation 2008

12. Kenya 2009

13. Ottawa 2009

14. Windsor 2010

15. The Cost: Billions & trillions of dollars. Hundreds of thousands of lives.

16. We have a fundamental responsibility to act. We need to change the way we live and the way we do business.

17. Opportunity

18. An agenda driven by: Consumers Thought Leaders Political Leaders Corporations and Foundations Ventures

19. Professor Michael Porter Bishop William Lawrence University Professor at Harvard Business School

20. “ In recent years business increasingly has been viewed as a major cause of social, environmental, and economic problems. Companies are widely perceived to be prospering at the expense of the broader community...The solution lies in the principle of shared value, which involves creating economic value in a way that also creates value for society by addressing its needs and challenges…The purpose of the corporation must be redefined as creating shared value, not just profit per se. This will drive the next wave of innovation and productivity growth in the global economy.

21. The concept of shared value recognizes that societal needs, not just conventional economic needs, define markets. It also recognizes that social harms or weaknesses frequently create internal costs for firms—such as wasted energy or raw materials, costly accidents, and the need for remedial training to compensate for inadequacies in education. And addressing societal harms and constraints does not necessarily raise costs for firms, because they can innovate through using new technologies, operating methods, and management approaches—and as a result, increase their productivity and expand their markets. ”

25. What is Social Finance?

26. socialfinance [soh-shuhlfi-nans, fahy-nans], n.; synonym: impact investing Social finance is an approach to solve social or environmental challenges while generating financial return.This includes investments that range from producing a return of principal capital to offering market-rate or even market-beating financial returns. Social finance encourages positive social or environmental solutions at a scale that neither purely philanthropic supports nor traditional investment can reach.

27. Investor Profile

28. Venture Profile

29. The Market Local: $2 billion Global: $50 billion

30. Toronto Community Housing Corporation (TCHC) Bond: $1B Regent Park Revitalization with $450M Bond

31. Rowe Farms: ~$4 million in debt and equity investments to grow/expand retail operations via Investeco.

32. Planet Bean Coffee: $75k loan as a part of a $250k debt capital raise for expansion of retail operations via CAIC.

33. Centre for Social Innovation (CSI): $1.8M bond issue for the acquisition and re-development of new facility.

34. Wood Street Urban Farm: $250k loan through Chicago Community Loan Fund for facility construction through Calvert Community Investment Note.

35. Serviam Gardens: $3.6 million loan an 83-unit complex for low-income seniors in the Bronx via NYC Acquisition Fund.

36. Finestrella: $4 mil equity investment in regional mobile phone company focused on low-income customers through Ignia, LP.

37. KenGen: $200M bond to finance construction of 500 MW of geothermal power generation in Kenya.

39. Profits Planet People

40. A Vision for Social Finance

41. Seven Key Recommendations Foundations National Impact Fund Bonds Pension Funds Modernize Corporate Forms Tax Regulations Support Services

42. Market Potential Local: $30B HNWIs: $120B Global: $40B - $1T

43. SEARCH FOR SCREENED FUNDS & VENTURES CREATE & MANAGE INVESTOR PROFILE Accredited Investors Service Providers CREATE & MANAGE PROVIDER PROFILE SVX Lawyers, auditors, analysts, alternative banks and credit unions, and investment banks Foundations, Endowments, Wealth Managers, High Net Worth Individuals (HNWIs), Asset Managers SHARE DUE DILIGENCE & PRESENT COLLABORATIVE DEALS OBTAIN FINANCIAL TRAINING & RESOURCES ONLINE Venture Listings Fund Listings Investor Listings Financial Service Provider Listing Resource Centre Collaboration Tool SEARCH FOR SCREENED VENTURES Social Ventures Impact Funds SEARCH FOR FINANCIAL SERVICE PROVIDERS & INVESTORS CREATE & MANAGE FUND PROFILE Local impact investing funds Nonprofits, cooperatives, social purpose businesses CREATE & MANAGE VENTURE PROFILE Impact-First I Innovative I Trusted Connector I Market Consolidator Public Service I Non-profit I Access Point

44. Local & Global Markets

45. Our goal is real incremental and transformative change.A transition to a socially and environmentally just economy.

46. 3rd Annual Sustainable Business Conference University of Ottawa, Telfer School of Management Thank You