Pacific Community Ventures has worked in partnership with The Global Impact Investing Network (GIIN) to develop IRIS+ for Impact Due Diligence.
IRIS+ provides a solid foundation for investors to integrate impact performance into decision-making across the investment cycle, including the due diligence process. Adopting IRIS+ strengthens the integrity of investment decisions, leading to social, environmental, and financial benefits. This guidance document is intended for impact investors seeking to use IRIS+ when performing due diligence on prospective investments.
Integrating impact measurement and management (IMM) into the due diligence process helps investors more closely align their investments with their impact objectives. Key benefits of impact due diligence include:
- Aligning internally around intended impacts and priorities;
- Assessing and managing impact risk;
- Constructing more impactful portfolios through improved investment selection;
- Identifying and communicating an enterprise’s intended social or environmental impact;
- Identifying ways to add value to and improve an investee’s impact; and
- Attracting additional capital to both investment funds and enterprises by demonstrating the increasing sophistication by which impact capital is deployed and utilized.
This document is part of the How-To guidance series of IRIS+ which provides examples of how to use IRIS+ in practice.
IRIS+ is the generally accepted system for impact investors to measure, manage, and optimize their impact. Credible, comparable impact data are needed to inform impact investment decisions and drive greater impact results. IRIS+ solves for this by increasing data clarity and comparability, and it provides streamlined, practical, how-to guidance that impact investors need, all in one easy-to-navigate system.