What does ‘student-managed’ mean?
This means an IESE MBA student team will manage all the major investment stages and fund operations, such as:
- Investment thesis development
- Sourcing and due diligence
- Post-investment support
- Impact metric evaluation and reporting
- Interacting with external partners
Are any of the management and/or advising activities remunerated?
No, Board of Directors, Advisory Board and General Assembly representatives do not receive any payment for their work.
The Board of Directors change every year. What happens if there is a really poor leadership team one year?
The Advisory Board, made up out of IESE Professors and a representative of IESE’s FINAVES, is in place to guide IFIC’s Board of Directors and could recommend to the General Assembly, composed by every donor, to replace the team.
What happens if you don’t find a good investment?
There is always the possibility that despite having anchored IFIC in a network with incubators like Ship2B and the FINAVES / IESE (Impact Investment Competition) networks, there is no start-up the Board deems feasible to invest in. Should this be the case, the next IFIC Board will have the opportunity to either make a larger investment or make several investments. The money will not be redistributed to donors nor will it be used for any other purpose than to invest in impact companies.
Can IFIC`s money be donated to a not-for-profit organization?
No. IFIC will always seek for financial returns and positive impact.
Are the proceedings of the investment returned to the donors?
No. Fundraising is done as a donation to IFIC as an eternally revolving fund. The potential returns on investment will be used as funds for future investment and to support the IESE community, growing the donor contribution impact.
Who is going to support/monitor the investee companies? Can I participate?
The Board of Directors and the Responsible Business Club of IESE will be responsible for post-investment support and will structure the best team and process to do so. If you are an IESE MBA student and member of the club, please contact us if you are interested in joining.
Are there similiar investment vehicles in other business schools?
Yes. Our initiative was inspired by other school’s organizations and we are always seeking for new ideas and willing to share best practices. Here are some of the organizations from who we try to lean:
Wharton Social Venture Fund http://www.whartonimpactinvestingpartners.com/
Columbia impact investing
INSEAD Salamander fund
London Business School