The Future of Responsible Investing
Sparo's Portfolios with a Purpose align goals with values. Invest for a better world.
Invest with Impact
Investors want to align investments with social and environmental values.
Impact investing generates financial returns and positive impact.
The Sparo Impact Portfolio is a way to invest your money in companies and causes that reflect your values and make a positive impact on the world. We customize your investments to match your financial goals and your desire to do good for society and the environment.
We believe philanthropy has the power to make a difference. That’s why we strategically donate a portion of our management fees to charities aligned with the health and social impact priorities of each Sparo Portfolio.
Philanthropy as a Multiplier for Economic Growth
Support for growing populations, global commerce and expanded development of goods and services requires new business models and infrastructure. This entails changing the way goods and services are produced, distributed, and consumed.
As lifespans increase and healthcare evolves, there's a growing need for precision medicine, quality of life enablers, and technology-leveraged care. By 2030, people aged 60+ are expected to increase by 45% worldwide, which will significantly impact consumption patterns in healthcare-related products and services.
We're seeing a fundamental shift in consumer behavior driven by newly affluent global markets, aging consumers, and the increasing purchasing power of millennials. At Sparo, we focus on digital ecosystems, products, and services that support this shift in how people are spending and consuming goods and services.
Charitable investment can serve as a multiplier for the overall impact of financial investments. The methods to identify and select the applicable charities for each Sparo investment strategy are made up of factors related to how charities interact with three key drivers of economic growth.
Charity Selection Criteria
We choose charities that align with the areas of the economy our investors are interested in and the level of risk they are willing to take. Our charities range from large, well-resourced nonprofits to smaller organizations that are making a difference in job creation and growth, environmental sustainability, technology, and healthcare. They are selected for their potential to create meaningful change in these areas.
Low Risk Equivalent
- Well-established organizations with a recognized track record of positive impact
- Demonstrated record of scaling programs and impact
- Above average ratings and evaluations from Guidestar or Charity Navigator
Moderate Risk Equivalent
- National, regional, or local organizations with local programs and impact
- Ongoing activities establishing a record of scaling programs and impact
- Average ratings and evaluations from Guidestar or Charity Navigator
Aggresive Risk Equivalent
- New and/or small organizations with a shorter track record of success
- Nonprofits tackling issues with novel approaches
- Limited information from Guidestar or Charity Navigator
Disclaimer: The charities selected are determined by the Sparo Impact Portfolio team without any charity coordination. The charities are in no way endorsing or otherwise cooperating or otherwise engaged in promotion or other marketing of the Sparo Impact Portfolio. Future versions of the Sparo Impact Portfolio Impact Strategy toolset will enable investors to select from a larger range of charities to better support the important and effective work of the "forgotten charities."
Sparo Climate Solutions Strategy
Climate change is already impacting many aspects of our lives. This strategy aims to assist those experimenting with and calling successful climate mitigation projects critical to improving lifestyles and lowering economic risk.
Low Risk Equivalent
Oceana.org is dedicated to restoring the world's wild fish populations by promoting science-based fishery management. By establishing catch limits, reducing bycatch, and protecting habitat, we can ensure a sustainable source of protein for billions of people and support the livelihoods of countless fishermen.
Moderate Risk Equivalent
Eden Reforestation Projects helps mitigate climate change and lower systemic risk to businesses by scaling up natural carbon removal strategies, such as growing trees, that enhance ecosystems' ability to sequester carbon in biomass and soils.
Aggressive Risk Equivalent
Innovation in food production can help overcome challenges such as reducing waste, improving soil and animal health, sustainable water management, increasing crop diversity, and farm profitability. By developing solutions to these challenges and deploying them to farmers and consumers, Foundation for Food & Agricultural Research builds a sustainable food system to meet the growing world population's needs.
Sparo Health Breakthroughs Strategy
Longer lifespans and modern medicine are changing consumption patterns of goods and services related to healthcare. These changes, coupled with increased emphasis on preventative care, represent a paradigm shift toward precision medicine, quality of life enablers, and technology-leveraged care. This group of assets provide exposure to securities that are relevant to this theme and rely on or benefit from advancements in Precision Medicine, Targeted Therapeutics, Molecular Diagnostics, Stem Cell Research, Bioinformatics and Healthcare Technology.
Low Risk Equivalent
Parkinson's disease affects millions worldwide and is predicted to double by 2040, causing a significant burden on society and the economy. By investing in clinical care and research, including genetics, the Parkinson's Foundation is working to reduce this burden and find a cure for this fast-growing neurological condition.
Moderate Risk Equivalent
As the U.S. population continues to age, the economic burden of age-related illnesses is growing. By researching and developing new treatment options for chronic diseases, exploring stem-cell technologies, and investigating how the body heals itself, the Salk Institute is addressing the demand for better age-related treatment options and improving the quality of life for the growing aging population.
Aggressive Risk Equivalent
The key to preventing, treating, and curing human diseases lies in basic science research in the laboratory using mouse models. However, the lack of resources and knowledge often creates a gap between biological discoveries and medical progress. The Jackson Laboratory bridges this gap by connecting mouse and human data to advance biological research and speed up the translation to clinical treatments.
Change Workforce Empowerment
Growing populations, global demand and expanded development of products and services will require new business models and infrastructure. These changes are expected to permanently change the way goods and services are produced, distributed, and consumed. These shifts are expected to affect sectors such as technology and automation, cybersecurity and workforce transformation. Investing in the education of a skilled and productive workforce will help support future growth across industries.
Low Risk Equivalent
As the economy evolves, high-wage jobs in technology fields are in high demand. However, many of these positions remain unfilled due to a talent shortage. To address this challenge, Jobs for the Future is building accessible and inclusive apprenticeship and college pathways, particularly in computer science and cybersecurity, to develop a diverse talent pipeline. By growing the pool of skilled workers, Jobs for the Future is helping to meet the growing demand for future tech jobs.
Moderate Risk Equivalent
The economic cost to the U.S. economy based on the barriers to employment for the previously incarcerated is estimated to be $87 billion. Time in prison or a felony conviction has significant adverse impacts on a person’s employment prospects. By equipping previously incarcerated and soon-to-be released men and women with the tools and resources needed to find employment and successfully re-enter the workforce, Jails to Jobs contributes to overall job creation and growth.
Aggressive Risk Equivalent
Many people fear the potential negative impact of AI on job markets, but research shows that AI technologies can have a positive effect on employment and firm growth. By promoting the ethical and responsible use of AI, AI for Good is unlocking the technology’s potential for societal benefit and economic growth. Together with partners from research, government, and industry, AI for Good is driving progress towards the next generation of AI solutions.
Get Started with Impact Investing
Click to head on over to Betterment and setup your Sparo Portfolio.