Fixed Income and Impact Investing: A Primer for Families

Fixed income is a cornerstone of traditionally balanced investment portfolios, offering stable income, varying liquidity, and a relatively low-risk profile. Given the prevalence and diversity of fixed income investment opportunities, families who wish to create or expand an impact investment portfolio may find fixed income to be a good place to start. Families can align their investments with their values (or philanthropic mission) by incorporating social and environmental factors into their fixed income investment decisions. With the impact measurement capabilities improving significantly, this could lead to companies and fund managers competing on both impact and profit, creating a greater number of quality investment options.