When a family foundation began exploring impact investing more than five years ago, its leadership faced the same questions many foundations ask early on:
- Can we generate market-rate returns and drive measurable change?
- How do we align our investments with our values without overburdening a small staff?
- How do we engage family members across generations in financial decisions?
- Where, if at all, do program related investments fit into our investment strategy?
With interests in food and agriculture, nature-based climate solutions, and health, the foundation had a clear set of priorities, but limited experience applying them to their investments. With a desire to learn by doing, they partnered with CapShift to build fluency, develop a strategy, and source investments across both public and private markets.
They were interested in strategies across the risk-return spectrum and local relevance—but with family members with different priorities and at different points in their understanding of impact investing, getting started required not just investment support, but a strong learning partner.
Building an Aligned Portfolio With Internal Alignment
Partnering with CapShift as their advisor, a custom public market portfolio was built to align with the foundation’s values and financial goals. It was designed with an intentionally broad mandate to provide an accessible entry point for family members, while helping the foundation begin allocating capital in support of systemic change.
The portfolio emphasized:
- Affordable housing and inclusive community development
- Reduced exposure to climate risk
- Clean energy and sustainability solutions
- Fair labor and supply chain practices
The approach allowed the foundation to move from intention to action—activating capital quickly while fostering shared understanding among decision-makers.
Concurrently, the family also partnered with CapShift to engage in a deeper dive on program related investments (PRIs) to learn how, if at all, this tool might complement their investment strategies for opportunities that deeply aligned with their philanthropic goals but fell outside their public market investment portfolio.
Expanding into Private Markets with Confidence
As their experience grew, the foundation began to develop an interest in having a deeper impact than what they felt could solely be achieved in public markets, and began evaluating private investments aligned with their impact priorities. CapShift supported them at each step—from refining their investment thesis to surfacing pipeline and conducting due diligence. Recent investments have focused on sustainable agriculture technology, forestry, and hard-technology focused on advancing climate outcomes across the spectrum of risk and financial return.
The foundation leans on CapShift’s team to complete deep diligence on funds and direct deals before the board and investment committee makes decisions.
Research Engine Became the Foundation’s Go-To Discovery Tool
An early adopter of CapShift’s Research Engine, the foundation uses the tool to understand impact sectors, evaluate new themes, and source investments. Family members and staff use the platform to explore what actionable opportunities exist within newer focus areas.They engage in conversations with managers sourced by CapShift to learn where the foundation might play a role in having an impact.
The Research Engine helps the foundation compare strategies across conservation, regenerative agriculture, and health—offering a landscape overview before a decision to conduct deeper due diligence for investment. It’s a core part of how they translate curiosity into action.
A Strategy That Evolves With the Foundation
From day one, CapShift has supported the foundation in developing and refining its impact thesis. As goals evolve and markets shift, the strategy has adapted and the learning continues. CapShift helps the foundation balance ambition and feasibility, navigate tradeoffs, and identify where its capital can be most additional, even as family members interests evolve.
The relationship remains rooted in flexibility and partnership—designed to grow alongside the foundation and its mission.
More than five years into the relationship, CapShift continues to serve as a strategic advisor and investment partner. Together, the foundation and CapShift have:
- Refined an evolving impact thesis across multiple themes
- Activated nearly $30 million in impact investments
- Integrated family members into strategy and sourcing
- Built internal fluency and confidence around impact investing and program-related investments
What began as an educational engagement has grown into a comprehensive, multi-asset strategy for mobilizing the foundation’s capital toward meaningful and measurable change.
