UK Equity Impact – Employment Opportunities Fund

The UK Equity Impact – Employment Opportunities Fund in collaboration with Aberdeen Standard Investments was launched in February 2018. The aim of the Fund is to generate a financial return over the long term by investing in companies which promote and implement good employment opportunities and practices.

The Fund Manager will identify companies for their potential to grow and sustain strong long-term financial returns. These companies will then be assessed to determine if they are committed to delivering sustainable employment opportunities.
The Good Economy Partnership, a social advisory and data analytics firm specialising in measuring social impacts, has been commissioned by Big Issue Invest to help develop the rigorous impact assessment framework that is being applied across the Fund’s investment universe.

The impact criteria will typically include companies paying above average wage rates, being located in deprived areas, offering training opportunities and/or employing young people. In general, companies will have more than 50% of their employees in the UK.

Why focus on jobs?

Jobs are pivotal to multiple social outcomes

Full-time work increases the chance of escaping poverty by 75% (Rowntree Foundation); employment deprivation is a principal determinant of life expectancy (Kings Fund).

Jobs are pivotal to sustainable economic growth

Human capital is the main driver of productivity and competitiveness in the UK knowledge economy – the country needs a skilled and fully employed workforce.

UN Sustainable Development Goal 8: “Inclusive and sustainable economic growth, full and productive employment and decent work for all”.

Jobs are pivotal to inclusive regional development

A more balanced job creation across the UK nations and regions is good socially (equity) and good economically (efficiency) – decent employment supports social cohesion and helps to address inequalities in the UK.

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