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How One Non-Profit Uses Reserve Funds to Invest In ESG-Driven Companies – Environment + Energy Leader

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(Credit: IAFNS)

Opinion

All across Washington, DC, and in cities around the world, non-profit organizations operate pursuing their missions.  Some non-profits are focused on resolving environmental issues. Some are focused on addressing BIPOC and minority challenges. Others, like the Institute for the Advancement of Food and Nutrition Sciences, are focused on food and nutrition research, education and science.

Many of these non-profits have a reserve fund. This rainy day money aids them in navigating the challenging years when membership and donations are down. Additionally, these reserve funds represent another way that non-profit organizations can support the causes they believe in.  These funds can be directed through the organizations Investment Policy Statement – to ensure the purposedriven actions of the non-profit organization are realized more fully.  

Earlier this year, the Institute for the Advancement of Food and Nutrition Sciences (IAFNS) was launched as a new 501(c)(3) science-focused non-profit organization. As the organization considered its new identityand how to ensure it could best realize and reinforce its goal of catalyzing science for positive change in the food and beverage ecosystem to advance public health — the Board quickly realized it needed to put its reserve money “where its mouth was.

This purposeful decision by the Board was taken and now IAFNS investments are geared toward companies that operate with high environmental, social and governance (ESG) standards. Further, the investment portfolio does not include tobacco. (Tobacco companies are not allowed membership in IAFNS due to the clear adverse health impact of smoking.) How could we claim to live our values of scientific integrity, transparency, collaboration and public benefit if we did not reinforce those with our reserve fund investments?

Defining ESG Investment Policies

To drive this change and ensure we are living our values, we started by asking our investment advisers to conduct a confidential survey with our Board Finance Committee. Our Board members, from both the public sector and the private sector, voted and identified the specific criteria IAFNS wanted to avoid and criteria to emphasize in order to have IAFNS values reflected in its investments.  (A key point of emphasis in the survey is that the values are to be reflected are organizational values not personal ones.)

Next, the Board Finance Committee determined whether direct or indirect exposure to the companies IAFNS wanted to exclude or promote in the portfolio was acceptable. Direct exposure comes from buying individual companies’ securities on the open market, while indirect exposure reflects owning shares of a mutual fund or Exchange Traded Fund (ETF) where a fund manager purchases securities as holdings of the fund.

Working with advisers, the Board Finance Committee determined which types of companies IAFNS wished to avoid or emphasize, along with the type of exposure to those companies that is acceptable. Thus, it was a survey to define criteria, determination of acceptable exposure, and identification of exclusions that allowed IAFNS to establish a Socially Responsible investment plan for our organization.

The value of an investment is no longer only about financial returns. An increasing number of investors are also calling for their money to make a positive impact on society and the world at large. For example, someinvestors and employees may be passionate aboutpromoting green business and embracing sustainabilityothers may be passionate about diversity, equity, and inclusionothers may be passionate about animal welfare. It’s natural extension for investors and employeesto ask if the organizations they support have similar commitments to invest according to their values? And, if not, why not?

Working with professional advisers, ESG investing—sometimes called Socially Responsible Investingis a way to do more good with more money, expanding a non-profit organization’s positive effects beyond the activities of the organization to the entirely of its investment portfolio.

We encourage all other non-profits to review their investment policy.  We encourage organizations to work with their Board and reflect on how their investments can additionally reflect their values.

By Wendelyn Jones, PhD,Executive Director of the Institute for the Advancement of Food and Nutrition Sciences (IAFNS)

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SoftBank Leads $200 Million Investment In Semiconductor Startup, Boosts Logistics Chip Space – Forbes

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A $200 million funding round led by Japanese billionaire Masayoshi Son’s SoftBank gave a little-known California-based semiconductor startup a boost in the nascent logistics chip space.

SoftBank Group’s Vision Fund 2 led the investment in Wiliot, a four-year-old startup with presence in Australia, Germany, Israel, Taiwan and Ukraine. Previous investors include Amazon Web Services and the venture capital arms of Samsung and Japanese mobile carrier NTT Docomo.

SoftBank’s investment marks a boost for Wiliot, says Mario Morales, group vice president of enabling technologies and semiconductors at market research firm IDC. “Most of these guys have gotten not as much funding as this one,” he notes. “Most of them are running out of money.”

Wiliot, whose stamp-sized chips are designed to allow object identification on a mass scale, could benefit from cross-pollination with the Vision Fund portfolio’s e-commerce and logistics companies, analysts say.

“Vision Fund is spraying billions of dollars on tech firms, and the flow of cash appears almost limitless,” says Neil Mawston, executive director at Strategy Analytics. “Wiliot could potentially work with other Vision Fund investments such as Coupang or Flipkart for leaner e-commerce logistics.”

SoftBank invests in a range of technology companies around the world. Recent deals include investments in the logistics and warehouse robotics sectors. For example, its Vision Fund invested in JD Logistics’ $3.2 billion Hong Kong initial public offerin in May and SoftBank has placed $2.8 billion for a 40% stake in AutoStore, a Norwegian company that specializes in warehouse automation technology for e-commerce.

Wiliot’s encrypted and cloud-enabled chips connect products that move through global supply chains in crates, packaging and on pallets. The startup has raised a total of $270 million in venture capital over time and the latest round was over subscribed, says Stephen Statler, a senior vice president at Wiliot. “We’ve seen a consistent level of interest between financial and strategic investors in what we do,” he says.

Attention to autonomous warehouses, robotics and “smart” retail raise interest in object-finder tech, Statler adds. “One of the basics is to have a real-time view of inventory so when (a customer) does show up, you’re not constantly searching for what you want,” he says.

Wiliot belongs to a small high-tech sub-industry that designs chips for object identification akin to QR coding and RFID (radio-frequency identification) tags, says Morales. The global market for this space spans just 10 startups worth a few tens of millions of dollars, he says.

Over five years, Morales forecasts the space will grow to around $2 billion, but led by half the number of companies that are active now. “The logistics chip industry could eventually be measured in the trillions of units, as every product or thing can potentially be tagged with a battery-less, wireless tracker for real-time inventory management of the demand chain,” he says.

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Camarico Launched Camarico Financial Corporation and Pilot Investment Program – TheNewswire.ca

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July 29, 2021 – TheNewswire – Camarico Investment Group Ltd. (CSE:CIG) (CNSX:CIG.CN) (“Company”) is pleased to announce the restructuring and relaunch of Maverick Northstar Inc as Camarico Financial Corporation (“CFC”). CFC will lead Camarico Investment Groups non-equity-based investment strategies.

 

CFC has received a non-interest-bearing loan from Camarico Investment Group for the sum of $200,000 CAD to initiate CFC’s proprietary Pilot Program, Reserve Capital and G&A. CFC will place Reserve Capital in Collateralized Short Term Demand Notes with qualified third parties.

 

CFC will provide monthly updates on Pilot Program performance and findings.

 

Camarico Financial Corporation is not a licensed financial service provider and WILL NOT sell financial products, such as: mutual funds, insurance, securities or stocks, options, futures, OR have specific duties within a financial services company, such as portfolio management or supervisory responsibilities.

 

ON BEHALF OF THE BOARD OF DIRECTORS OF CAMARICO INVESTMENT GROUP LTD.

“R. Mackenzie Loree”

Chief Executive Officer

Email: mloree@camarico.ca

 

Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this press release.

 

Forward-Looking Information: This press release may include forward-looking information within the meaning of Canadian securities legislation, concerning the business of the Company. Forward-looking information is based on certain key expectations and assumptions made by the management of the Company. Although the Company believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because the Company can give no assurance that they will prove to be correct. Forward-looking statements contained in this press release are made as of the date of this press release. The Company disclaims any intent or obligation to update publicly any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking information contained in this news release.

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The 5 Worst Investment Tips on TikTok – Entrepreneur

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July
29, 2021

6 min read


This story originally appeared on NerdWallet

This article provides information for educational purposes. NerdWallet does not offer advisory or brokerage services, nor does it recommend specific investments, including stocks, securities or cryptocurrencies.

Do-it-yourself is fine when the stakes are low; everything you need to know about patching drywall is on TikTok. But what about when the stakes are high? Would you rewire your home after watching a few TikTok videos? Probably not, and the same logic goes for financial advice.

Pouring your savings into an investment — or any product — being hawked on social media is generally a bad idea. But how will you know which bits of advice are legitimate, and which are bunk? Below, experts weigh in on the worst investment advice they’ve seen recently on TikTok and other social media.

1. The FIRE movement is for everyone

FIRE stands for “financial independence, retire early,” and given how the movement has spread on social media, the acronym is apt. Chris Woods, a certified financial planner and founder of LifePoint Financial Group in Alexandria, Virginia, says that many of the core tenets of the FIRE movement are great: They focus on lowering your expenses, saving heavily, putting money into diversified index funds and generating multiple streams of income to help you retire early, which may all be sound financial decisions.

The problem is, everyone’s financial situation is different. Financial planners spend a lot of time upfront learning as much as they can about someone’s unique financial standing before making any recommendations. And for some, he says, the FIRE movement may be an appropriate goal. But it’s not for everyone, and sound bites from social media influencers can’t take your personal situation into consideration.

“So many people will do what these influencers are saying, even if it’s not the appropriate thing for them,” Woods says. “That’s one of my big overarching disappointments or gripes with the influencers out there. Because a lot of times, they’re talking about this stuff without context.”

The next time you see someone living their best #vanlife and boasting how they retired at 30, remember you’re seeing a highlight reel, Woods says. Their financial situation may have been completely different from yours, and there’s no guarantee what worked for them is right for you.

2. Forget about 401(k)s and IRAs

There’s a thought out there that boring, long-established wealth-building strategies, such as funding retirement accounts like 401(k)s and IRAs, are outdated.

“This is all so faulty and so bad I don’t know where to start,” says Tiffany Kent, a CFP and portfolio manager at Wealth Engagement LLC in Atlanta.

Kent says that to stand out on social media, someone can’t just talk about typical retirement accounts over and over again, no matter how proven they are. Boring doesn’t inspire viewers to smash that “like” button.

Instead, they talk up new, complicated — and at times confusing — products, simply to stand out from the crowd. Sometimes the ideas are a bit contrarian, other times they’re outright outlandish. But this approach, Kent says, is absolutely the wrong way to get financial advice.

“If it’s boring, it’s good,” Kent says.

3. Precious metals are the best long-term play

Gene McManus, a CFP, certified public accountant and managing partner at AP Wealth Management in Augusta, Georgia, said by email that he’s seen claims that precious metals IRAs (which invest in gold and silver instead of stocks and bonds) are a better choice than typical IRAs.

He said acolytes of the strategy argue that precious metals IRAs better protect your money from things like inflation, global supply shortages or a collapse of the financial markets.

But McManus disagrees.

“The long-term history and performance of gold and silver do not indicate that they are a rewarding asset class,” he said. “There are short-term periods that they might outperform the S&P 500, but over the long term, they don’t make sense to own, especially exclusively or overweight in a portfolio.”

4. Hundreds of thousands of people can’t be wrong

It’s true that there’s power in numbers. However, it’s equally fair to say that mob mentality, echo chambers and hype can get in the way of rational decision making. Anthony Trias, a CFP and principal at Stonebridge Financial Group in San Rafael, California, says he’s worked with clients who are investing in stocks they’ve heard mentioned on social media — no matter how staggering the claims of future potential — because of how many people were talking them up.

“There are going to be 300,000 people on social media saying one thing,” Trias says. “But prudent investors block out the noise, do their due diligence and look at who they’re actually listening to.”

Trias also echoes Woods’ concerns. Validating investment ideas based on social media hype is problematic, he says, because investment decisions should be highly tailored to you and your needs — and that’s just not possible on social media.

5. Your cryptocurrency will absolutely go to the moon

All the rocket emoji in the world couldn’t give a valueless cryptocurrency long-term staying power, no matter who’s pumping it.

Clayton Moore, founder and CEO at crypto-payment system NetCents Technology, said by email that while engaging platforms like TikTok have been instrumental in spreading the word about cryptocurrencies, they’ve also become breeding grounds for fraud.

“You’ve got to watch out for the crypto influencer who’s just in it for a quick buck,” he said. “The classic pump and dump.”

Moore said it’s common for crypto influencers to accept payment in exchange for making wild claims about a coin, only to abandon their support for it once the check clears.

“If it is too good to be true, 99% of the time, it is,” Moore said.

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