Community Capital Management, Inc. (CCM) is one of the top fixed income impact investing managers in the United States that prides itself on corporate social responsibility.

CCM reported that the company’s CRA Qualified Investment Fund Institutional Shares (CRANX) ranked among the top one percent of all performers out of 309 government funds during 2015.

According to PR Newswire, CRANX saw about two percent returns in 2015, exceeding the average return for its category. Out of 301 funds, investment research group Morningstar rated the share class with four stars for its $1.8 billion asset portfolio across its three share classes.

“We are equally proud of the Fund’s bespoke impact portfolio and community impact performance, having invested $512 million in 2015 and $5.8 billion since inception in bonds financing economic and environmentally sustainable initiatives,” said CCM chief investment strategist David Sand.

CCM offers shareholders the ability to customize their investments to align with social or environmental missions, in addition to participating in open-ended bond funds that provide liquidity as a part of their corporate social responsibility.

Funds like CRANX offer investors the chance to facilitate change through impact investing – making investments that bring about a social or environmental change as well as a financial return.

CCM’s impact investments have brought great change to areas within the United States. For example, $283 million helped to fund job creation and small business development, $354 million was invested for environmental sustainability and neighborhood revitalization, $33 million helped to create affordable health facilities and 320,000 affordable rental housing units were created.

Canyon Crossing is one of these complexes that offers 180 rental properties to low-income residents of Salt Lake County in Utah. The construction of these buildings, along with the state’s other efforts over the last 10 years, has resulted in a rapid reduction of homelessness throughout the state, according to the Department of Workforce Services (DWS).

According to the African Development Report of 2011, the private investment sector is the driving force behind economic growth and poverty reduction in Africa. The report finds that 80 percent of Africa’s production, two-thirds of total investments and 75 percent of total credit to the economy comes from private sector investments.

Barron’s reports that the popularity of impact investing has grown in the last 10 years and current trends indicate an increase in international impact investing. A survey conducted by Fidelity Investments found that a quarter of respondents plan to invest their impact portfolios overseas.

“Impact investing has the potential to channel significant amounts of private capital to solutions to the world’s most intransigent challenges. Last year was a banner year for impact investing and set the stage for 2016 to be a year of tremendous growth and progress,” said Global Impact Investing Network CEO, Amit Bouri.

– Kelsey Lay

Sources: African Development Bank Group, Community Capital Management, Inc., Department of Workforce Services, Forbes 1, Forbes 2, PR Newswire
Photo: Huffington Post