Impact investing and COVID-19: put your money where it matters
September 17, 2020at7:00 AM
At gTC Group, which specializes in impact investing in Dallas, TX, we focus on supporting investments that will not only generate financial returns, but will also have positive effects on society. Healthcare is one area in particular that we feel is important, especially in light of COVID-19.
As the global pandemic has created devastating effects on America’s healthcare system and economy, this has further highlighted the need for impact investing. In this article, we’re exploring what you need to know about impact investing amid COVID-19.
How investors should change their approach
At a time when there is so much uncertainty, many investors are finding it difficult to understand where they should focus their efforts. Our impact investing firm in Dallas, TX, recommends keeping these factors in mind:
Mitigating economic harm
The economy has taken severe hits due to forced lockdowns, resulting layoffs, and high rates of unemployment. Large-scale bankruptcies are likely on the rise as well.
At the moment, your priority should be maximizing your investments to offset negative economic effects. Prolonged recessions must be avoided as much as possible, because they can create lasting damage.
Securing significant social returns
While achieving financial returns is always a priority, investors should be seeking opportunities that have significant social returns. The goal right now is to help society push through this difficult time.
Supporting the foundation of a fair economy
The pandemic has highlighted the economic divide in the U.S. Even for those who earn a healthy income, many are still living paycheck to paycheck due to inflated costs of living and poor safety nets.
This is the time to start laying the foundation for a more equitable economy by investing in innovative solutions. While pandemics and recessions will always be part of life, a fair economy will allow the average person to withstand economic blows.
Where your dollars will make the biggest impact
Our impact investing team in Dallas, TX, has been focusing on the healthcare space for quite some time. The ongoing pandemic has only made it more apparent that investing in healthcare is paramount.
Look for organizations that aren’t bound by convention. COVID-19 is a complex situation that requires novel solutions in testing, treatment, vaccines, training medical staff, and developing scalable healthcare services.
Modernized social protections
The pandemic has also made it clear that most Americans do not have a safety net they can rely on. Even one missed paycheck is enough to derail the average person’s life and cause months of financial setback.
While the Paycheck Protection Program helped small businesses make ends meet, many business owners were not successful in securing assistance due to the system's archaic interface. It’s time to invest in modern, user-friendly solutions that are capable of handling high traffic.
Investors should also be supporting organizations that are aiming to keep people afloat financially, provide food access in underserved communities, and expand social assistance programs sustainably.
Speak with our impact investing firm in Dallas, TX
At gTC Group, we believe that investors can make money while making a positive impact on society. Contact us today to learn more about identifying impactful investment opportunities.