Are we measuring what matters in impact investing? A scenario-based approach to focus on outcomes

Trust in impact investing hinges on credibly demonstrating outcome intent and performance. Without valid approaches for measuring, managing and reporting outcomes, how can we be confident that investments are delivering meaningful improvements to people, communities and the planet?

CGAP’s research in financial inclusion shows that IMM practices remain largely focused on outputs. Even when outcomes are measured, challenges persist in balancing evidence quality, data availability, and confidence in reporting actual impact realization, echoing trends across the broader impact investing ecosystem.

A significant barrier to shifting IMM toward outcomes is fragmentation among asset allocators, asset managers, and investees, who often operate with differing priorities, incentives, and expectations. This contributes to limited risk management, concerns about impact washing, and missed opportunities for aligning financial and developmental goals.

Taking financial inclusion investing as an example, CGAP and industry leaders will explore the following:

>What is needed to better align asset allocators, asset managers, and investees to move from outputs to outcomes?

>Why take a scenario-based approach to outcomes measurement and management?

>What practical insights are emerging from CGAP’s scenario-based framework and use cases for right-fit outcomes-focused IMM?