#Japan #Tokyo #Impact Report #Impact Circle #Environmental Energy Investment

Impact Circle Joins Forces with Environmental Energy Investment on Impact Report

Impact Circle, a Tokyo-based consulting firm dedicated to impact visualization in investment, recently announced its collaboration with Environmental Energy Investment, a leading venture capital firm focusing on environment and energy. This partnership has facilitated the development of the 2024 Impact Report which includes both a strategic section and a portfolio segment that highlight impactful ventures in this crucial sector.

Background and Implementation

As global awareness of environmental and social issues rises, the importance of impact investing—which aims to generate positive social and environmental outcomes alongside financial returns—has come to the forefront. Impact Circle has recognized this trend and has been providing comprehensive consulting services that range from impact visualization design to data analysis and reporting since its establishment.

Environmental Energy Investment, founded in 2006, has been instrumental in supporting startups addressing societal challenges through investments in the environmental field. Since 2018, they have led the charge in creating and visualizing sustainable impact in the investment community, developing evaluation methodologies that assess the potential impact of various startups. With their extensive knowledge and experience, they operate one of the largest funds in Japan focused on environmental and energy sectors.

As for Impact Circle, their role in this initiative involves applying their expertise in Impact Measurement and Management (IMM) to help design and implement effective strategies for measuring the impact of investments. This collaboration has resulted in critical components being established in the Impact Report, including the following key areas:

• - Establishing Impact Metrics: Utilizing the Five Dimensions of Impact framework to define impact indicators for portfolio investments.
• - Report Structure and Content Creation: Overseeing the planning and content production of the Impact Report.
• - Process Development: Creating a structured process for report generation and release.

Future Developments

Looking ahead, Impact Circle aims to leverage insights gained from this collaboration to expand its offerings to various financial institutions, institutional investors, and funds. They intend to support decision-making based on impact metrics and contribute to enhancing corporate value. Acknowledging the complexities and demands surrounding impact measurement and management, Impact Circle is committed to advancing its digital transformation (DX) to alleviate the operational burdens of impact design and data management.

This strategy includes the planned development of an Impact Visibility Platform, which is expected to launch in autumn 2025. This platform will integrate expertise related to impact measurements to support the automation of impact design and ease the data management workload, making it more accessible for organizations embarking on their impact visualization journeys.

For financial institutions, businesses aiming to elevate their impact initiatives, or those new to visualizing impact, Impact Circle offers a host of resources and support to meet diverse needs.

Conclusion

Through the combined efforts of Impact Circle and Environmental Energy Investment, the release of the 2024 Impact Report signifies a crucial step towards more transparent and effective impact investing. With a firm commitment to fostering sustainable practices and evaluating success in real terms, both organizations are setting a precedent for the future of responsible investing in the environmental sector.