This post was originally produced for Forbes.
By some measures, the world is awash in cash, much of it available to be invested in emerging markets with a social purpose. For instance, the world’s largest bank, the Industrial and Commercial Bank of China, has assets of $3.3 trillion. The constraint on impact investing may be expertise rather than capital.
According to Dave Richards, cofounder and Managing Director of Capria Ventures an affiliate of Unitus, explains the constraint. There are, he says, “lots of great entrepreneurs in high-growth emerging markets in Africa, Latin America and Asia and very little early-stage risk capital available, so their businesses aren’t realizing their potential in areas such as agriculture, healthcare, education and technology.”
The cause, he asserts, isn’t the lack of capital. He says, “What’s needed are on-the-ground, knowledgeable, capable fund managers who can provide smart capital and support to the best entrepreneurs.”
To address this problem, Ric…