Benjamin Firmenich

SUPPORT TO BUSINESS PLAN, SCALABILITY &

SUSTAINABILITY

Activity

Entity

APPROPRIATE FINANCING

PORTFOLIO MANAGEMENT

IMPACT MONITORING

Introduction to the Impact Finance Group

Different and complementary entities to address the market needs

TBLI Europe 2012Measurement of Impact Investment

www.impact-finance.com

Example of the Impact Monitoring of the Fund

IMPACT FINANCE FUND PORTFOLIO AS OF THE 23RD OF OCTOBER 20128 reporting companies; 7 countries; 4 different sectors

IMPACT OF THE FUND AS OF THE 30TH OF SEPTEMBER 2012

2.2

Scale

EconomicEnvironmentalGovernanceHuman rightsLabour practicesProduct responsibilitySociety

2.4

2.5

2.2

2.0

1 2 3

2.1

2.0

IFF Q3 2012



Case study: Sotrami SA

VALUE CHAIN INDICATORS EXAMPLES

Santa Filomena Community

-Number of formal businesses:19

Artisanal miners

-Provision and use of basic Personal Protection Equipment: 3/3

Sotrami SA

-Proportion of independents inside the BoD: 0%

-Number of direct stable jobs: 200

-Direct CO2 equivalent emitted fromtransport and energy production:794 tons

-Measures to prevent in house child labour: 3/3

Responsible clients

-Transparence on products’conditions: 3/3

CONTENTS OF THE AUDIT REPORT

-High indirect economic impact

-Good distribution of benefitsinside the value chain

-Improvements in terms of water footprint

-Reduction of the climate efficiency

-Good stakeholder integrationinside the governance

-Improvements of the governance structure

-Excellent controls of human rights

-Important and effective community services


Audit Report


Kharmax Products

• Individual company reporting;

• Portfolio reporting for Fund Managers;

• Auditor trainings to become Kharmax Certified Auditor

Side Products

• Company Audits performed by the Incandescent Lab to become

Kharmax Audited Business



Contact Informations

Benjamin Firmenich, Executive Director

Kharmax Impact Monitoring System S.A.

21 rue du Mont-Blanc1201 Geneva Tel: +41 22 731 05 60

[email protected]

www.kharmax-impact.com



Data Input: quantitative indicators

7

Data Input: qualitative indicators

8

Case study example: Grassboardsectors: energy efficiency, agriculture

HIGHLIGHTED INDICATORSQUANTITATIVE QUALITATIVE

Area of grass cultivated (ha) Utilities for production (water, gas,

electricity) Transport (road distance) Growth of sales

Grass farmer

12%(cash out)

52%(cash in)

Pig farmer10% (cash in)

SUPPLIERS CLIENTS

Distributor Contractor

Output - Individual scorecard example 1 – Grassboard

VALUE CHAIN

11

Economic-----------------

Environmental -----------

Governance --------------

Human rights ------------

Labour practices -------

Product responsibility -

Society --------------------

Grassboard

SCORES

0.5

3

1

3

2

2

2.5

• The entire process is carbon negative• The grow of grass favors erosion control• The product can be easily handled

• Sales growth and market presence are weak• There are serious governance issues inside Grassboard

Grass farmer

GrassboardSA

InsulatorSA Contractors

6%

18%

Pig farmer8%

SUPPLIERS CLIENTS

Independence of the Board of Directors Responsibility and mandate of the board of

directors in terms of corporate governance Internal flows of information Salary policy

9

Process

10

Economy & Finance

Benjamin Firmenich