Balance Social and Financial Performance
Agenda
Section 6 of the Universal Standards
6a- Growth rates are sustainable and appropriate for market conditions, allowing for high service quality.

6b- The institution’s financing structure is appropriate to a double bottom line institution in its mix of sources, terms, and desired returns.

6c- Pursuit of profits does not undermine the long-term sustainability of the institution or client well-being.

6d- The institution offers compensation to senior managers that is appropriate to a double bottom line institution.

Interview with Paul DiLeo & Anna Kanze, Grassroots Capital Management
What problems occur when an FI and its investors do not align expectations around profits, use of profits, planned time horizons for investment, and exit strategies?
What are the obstacles to aligning expectations? What are some of the solutions to overcoming these obstacles?
Whose responsibility is it to ensure that these “aligning” conversations and contracts happen? What is the ideal time to have these conversations?
Discussion with Participants
Where to find resources

6c- Pursuit of profits does not undermine the long-term sustainability of the institution or client well-being.

What are the obstacles to aligning expectations? What are some of the solutions to overcoming these obstacles? Misalignment starts at the top: MIV’s social/ financial investment propositions are unclear Expectations or requirements of MIV investors can change MIVs and MFIs can help investors “self select” through very clear investment goals/priorities.