Impact Investing in Israel
Mobilizing Capital & Social Change with Impact Funding
What is impact investing? It’s a chance for mission-driven investors and foundations to see their money support sustainability goals encouraging companies to benefit communities and even globally.
Do you have a passion for shaping the future of Israel? Want to put your investment dollars in a fund that can help Israel’s prosperity, improve citizens’ quality of life, and enhance the country’s security?
Impact investing can be an exciting opportunity... Ready to learn more?
Photo by Daria Dyachenko on Unsplash
What is Impact Investing? A Closer Look
We can consciously choose where our investment dollars go. Getting a financial return is certainly a big reason where we put our money. But, given the fact we are blessed to set aside extra money to invest, wouldn’t it make sense to use the money to address local and worldwide challenges?
Impact companies pursue a double bottom-line: aiming for profit and a defined non-financial impact. This can include environmental, social, and governance issues when looking at mostly public companies.
The goal of investing in impact companies means getting a return on investment while supporting the causes important to us.
It’s a win-win situation.
Over the past couple decades, Israel experienced some major government and economic changes. Check out A Brief History of Israel's Economy to learn more about Israel’s evolution and why it’s appealing to investors.
If your personal or foundation impact investing mission involves supporting the growth of Israel, now is an excellent time to put your investment dollars to work.
Social Capital and Economic Development
Social capital gives a group of people the opportunity to work together to achieve a common purpose or goal. Businesses do this all the time. When we align our investments with companies that support Israel’s innovation and prosperity, we are contributing to the country’s economic development.
How Does IIA Approach Investing?
The Israel Investment Fund, LP, is one of the only funds of its kind. This actively managed Israeli stock fund focuses on the long-term growth of capital.
Israel Investment Advisors (IIA) philosophy is dedicated to long-term wealth creation. Our decisions are based on a thorough analysis of a company’s business fundamentals and the broader sector which it operates.
Fund Investment Process
Through tireless research, we determine the differences between the current market price of a company’s stock and it’s intrinsic value. For each potential investment, we complete a thorough risk assessment. Our analysis includes these six critical factors:
Valuation Analysis: Highly valued stocks may have unrealistic expectations. Low valuation, on the other hand, may be the result of undue pessimism. We’ve found that fairly valued or undervalued securities tend to present less risk and loss.
Financial Analysis: We analyze the nature of the business, cost of financing, and the current stage of the business cycle to determine a company’s financial strength.
Operating Analysis: Identifying the elements of a company’s business strategy or economics that may cause major changes in earnings and revenues based on current events--locally and globally.
Economic Analysis: Being aware of the economic risks associated with a particular company or industry. Understanding the general business cycle and an individual sector’s unique cyclical behavior helps forecast these risks.
Technology Analysis: These days, technology evolves rapidly. Businesses face the possibility of emerging competitive technologies, services, or products. We estimate the degree and nature of technology that may put a risk on a company’s business or products.
Legal Analysis: Continued legal and regulatory reform in Israel is helping with economic growth and investment opportunities. By continually monitoring these developments, we identify opportunities and potential risks.
What does this mean for your impact investing growth?
As an investor, you know every investment poses a degree of risk. IIA is focused on long-term capital growth. Some investment trends may seem appealing in the moment. And yes, they may burn bright for a while then, suddenly, fade out.
We take a focused look at what makes companies and opportunities resilient and adaptable to the ever-changing business environment. This, ultimately, means long-term wealth creation for you while supporting Israel's future.
Make Your Impact Investing Dollars Count
For the past decade, Israel Investment Advisors, LLC, provided the premier way Americans can invest in Israeli stocks. Based in Denver, Colorado, we give individuals and foundations an opportunity to put their mission-driven assets to work to support Israel's success story.
In addition to direct investment into the Israeli stock market through our Israel Investment Fund, L.P., we offer full-service asset management solutions including:
Investment management
Tax analysis
Endowment planning and forecasting
Accounting & record keeping review
Philanthropic prioritization
Financial concierge services
Want to talk more about impact investing? Feel free to contact us right now through our simple online form. Or, if you prefer, give us a call at (303) 861-3798.