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Capricorn Investment Group

The PeopleBehind thePortfolio

SustainableInvestorsFund 2026
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Acknowledgements

The Sustainable Investors Fund (SIF) Partnership extends its deepest gratitude to our entire network, including our employees, investors, portfolio of asset management firms, and impact consultant, Bridgespan, all of whom have been instrumental in bringing SIF’s vision to life. We also express our sincere appreciation to Dustin O’Neal, of Great Jones Studio, for his creative contributions to this report.

About Capricorn Investment Group

Capricorn Investment Group, an SEC Registered Investment Advisor, is one of the largest mission-aligned investment firms in the world, managing approximately $19 billion in multi-asset class portfolios for families, foundations, and institutional investors as of December 2025. We came to this work over 20 years ago, driven by a desire to demonstrate the huge investment potential from breakthrough commercial solutions to the world’s most pressing problems. Our disciplined and patient approach has proven that thesis out many times over, in both direct investments and investments in external managers across a range of areas.

Our impact investing strategy is embodied in three core client offerings:

  1. 1

    Impact-aligned Outsourced Chief Investment Officer (OCIO)

    Providing full-service investment management to families, foundations, and other mission-oriented investors. We build and manage long-term, multi-asset-class portfolios that align with the unique financial and impact objectives of our clients.

  2. 2

    Sustainable Investors Fund

    A private equity partnership that provides seed capital to asset management firms with innovative approaches to addressing global issues such as climate change and income inequality.

  3. 3

    Technology Impact Fund and Technology Impact Growth Fund

    Venture capital capital and growth partnerships that invest in deep-technology companies focused on climate solutions.

Note from the SIF Team

At a time when sustainable capital deployment matters more than ever, the Sustainable Investors Fund (SIF) continues to support impact-aligned asset managers with growth capital and partnership. In this 2026 Impact Report, we examine how SIF has evolved since its initial deployment period, and how SIF’s investees have grown into more durable platforms. We will also share how SIF’s investees continue to shape the field, providing updates on key metrics, progress, and lessons learned for each fund.

This growth has occurred against a shifting backdrop. Macroeconomic pressures, geopolitical uncertainty, and changes in public funding have reshaped the broader impact investing landscape. Reductions in global aid and renewed attention to affordability, combined with the need for greater systemic resilience, point to an expanding possibility for private capital to address global challenges. In this context, SIF’s work is more relevant than ever. SIF remains committed to generating market-rate, risk-adjusted returns while accelerating social innovation, scaling effective solutions, and expanding access to capital for impact-native managers.

Earlier impact reports focused on fund outcomes and progress generated for end beneficiaries. This year, as we reflect on what has made these platforms durable, we also widen the lens to include the people behind them. Three interviews featuring leaders of MSquared, CIM, and our new investee, Closed Loop Partners, explore how their decisions and lived experiences have shaped the ways that investment strategies are built, sustained, and scaled. SIF’s role in the story is to provide early financing and hands-on partnership to help managers strengthen their organizations, expand their teams, and build the operational infrastructure to attract institutional capital. Over time, this support enables innovative strategies to grow and sustain execution at scale. We hope this report will demonstrate this key principle of SIF’s theory of impact in action, and reveal how the right capital, placed behind the right people, can drive lasting change.

Sincerely, The Sustainable Investors Fund Partnership

SIF's Thesis

Why SIF was created & SIF’s investment philosophy

Emerging impact-native managers bring a focused investment thesis, are unburdened by organizational constraints, and have the freedom to innovate. Their proximity to the communities and sectors where they invest allows them to deploy specialized expertise in less efficient areas of the market.

However, accessing capital remains a persistent challenge for emerging managers, despite evidence that their mean returns equal or exceed those of comparable established firms. SIF addresses this gap by providing strategic growth capital to these managers. As a GP stakes investor, we help scale differentiated platforms while delivering market-rate, risk-adjusted returns.

SIF specifically provides three forms of strategic capital and several kinds of strategic support to its investees:

Strategic capital

  1. 1
    Minority growth equity to fund team build-out, operations, and long-term growth.
  2. 2
    GP commitment financing to support firms in investing alongside LPs.
  3. 3
    LP capital to support new fund launches or assist in warehousing deals prior to a manager's first close.

Strategic support, in the form of

  1. 1
    Operations
  2. 2
    Fundraising
  3. 3
    Strategic planning
  4. 4
    Marketing
  5. 5
    Impact measurement and reporting
  6. 6
    Organizational development
Investment criteria

Our investment philosophy emphasizes the following criteria, which guide our investment decisions and shape the support and capital structures we provide:

Impact alignment
Asset management firms must articulate a clear investment thesis addressing significant environmental or social issues such as climate change or access to economic opportunity. Impact and risk-adjusted financial returns should be inextricably linked.
Innovative impact solutions
Firms should be advancing innovative solutions or operating models that, although untested, have the potential for substantial impact.
Impact scalability
Firms should be able to enable change on a systemic level.
Strategic partnership
Firms should view SIF as a value-added partner, ensuring that capital is invested in opportunities where SIF can provide the most investor additionality.
Impact authenticity and investment acumen
The firm should demonstrate deep sector expertise and a genuine commitment to the impact that serves as a competitive advantage.
Competitive returns potential
The strategy must be capable of delivering market-rate returns within its asset class to attract broader institutional capital.
Growth potential
The firm should demonstrate the ability to scale significantly with the right support and capital.
Additionality
Firms should demonstrate a clear chain of additionality. SIF's capital and support enable the manager to scale and innovate; the manager adds value beyond capital to its portfolio; and the resulting products or services deliver differentiated impact in areas where they are most needed.
Focus areas & principles

Our investments fall into four key focus areas and align with a set of key principles that drive our approach and the domains in which we invest:

1
Climate Change Mitigation & Resilience
Climate action creates economic value by reducing systemic risk and generating durable investment opportunities.
2
Economic Opportunity
Equal economic opportunity is foundational to stable, resilient economies, and enhanced economic growth can strengthen economic participation and equity.
3
Healthcare Access & Innovation
Access to quality healthcare is a core component of economic opportunity and long-term community resilience.
4
Responsible Stewardship
Asset managers can serve as critical infrastructure for directing capital toward pressing social and environmental challenges.

In the year ahead, the impact investing landscape will continue to be shaped by rising expectations for performance and proof. Market volatility and policy uncertainty will test emerging managers, even as demand for credible, scalable impact strategies continues to grow. Impact-native asset managers with deep sector expertise and differentiated platforms are well positioned to pair operational rigor with innovation. SIF will continue partnering with investees to attract capital and help shape the field's next phase.

Portfolio Overview

SIF's portfolio reflects a range of strategies, unified by a shared commitment to impact and long-term value creation. Taken together, these investments demonstrate SIF's core conviction: scaling capable leaders is one of the most effective ways to scale impact.

While this report continues to track portfolio performance and key outcomes, we will also use case studies to examine the people building and leading these platforms. The managers supported by SIF influence how impact capital is allocated, how risk is underwritten, and how long-term value is realized. Their decisions shape whether capital reaches the systems and communities where it can drive durable change.

As of December 2025, the SIF portfolio includes 12 firms with investments across three impact areas:

1

Climate Change Mitigation & Resilience

Focus areas
Energy transition
Accelerating the shift to clean energy
Natural Resource Conservation
Protecting and restoring ecosystems
Circular Economy
Reducing waste and reusing materials
Earth & Space Systems Monitoring
Leveraging technology for planetary insights
Sustainable Infrastructure
Creating climate-smart built environments
Resilience & Adaptation
Protecting communities from climate impacts
Investees
  • Closed Loop logoAdvancing the circular economy through investments in recycling, reuse, and waste infrastructure
  • Ser Capital logoBuying and building companies enabling decarbonization and waste reduction
  • Respira logoFinancing high-quality nature-based carbon projects worldwide
  • Astanor logoBuilding a more resilient planet by transforming the agrifood system
  • Ecofin logoScaling renewable energy by addressing investor needs for smaller investment amounts, shorter investment periods, and increased liquidity in renewable energy projects
2

Economic Opportunity

Focus areas
Financial Inclusion
Expanding access to financial services and capital
Housing Access
Increasing availability of affordable, quality housing
Education
Providing learning and skills for success
Employment
Creating good jobs and upward mobility opportunities
Investees
  • Community Investment Management logoProviding debt capital to fintechs to scale lending to underserved communities; ensuring responsible and customer-centric lending practices
  • Msquared logoDeveloping and investing in mixed-income real estate projects that promote affordability, diversity, and sustainability
  • Center Creek logoIncreasing the stock of affordable single-family rental units in the U.S.
  • Aristata logoProviding marginalized populations with access to legal representation
  • Lafayette Square logoClosing the capital gap for underfunded small/medium enterprises in the U.S.; enabling improved outcomes for low-income workers
3

Responsible Stewardship

Focus areas
Ecosystem Building
Expanding capital flows and partnerships to scale solutions to systemic issues
Values Alignment
Aligning investment portfolios with core mission and ethics
Investees
  • Osmosis logoAccurately assessing public company resource efficiency to construct portfolios favoring efficient firms; advocating for environmental data disclosure
  • Norselab logoOffering strategies across asset classes that back companies driving large-scale industry transformation and systemic change

Impact Updates from the SIF Portfolio

Four core impact objectives
  1. 1
    Expand capital allocation toward global solutions
  2. 2
    Support innovative emerging asset management firms
  3. 3
    Demonstrate pioneering investment models with the potential to create meaningful change
  4. 4
    Generate compounded additionality across the value chain toward companies and communities that may not have otherwise accessed institutional investment

In addition to informing our investment strategy, these objectives inform our impact framework and the way we assess, measure, and report on outcomes of our fund. Regarding our first objective, SIF's investee firms have grown their AUM by 7.1x since the fund's inception, reaching over $22.5 billion by the end of 2025.

Insights from Leaders

This year, to complement fund-level updates, we interviewed three leaders from across SIF's portfolio whose decisions have shaped how their firms are built and scaled.

These narratives highlight each leader's journey and illustrate a core principle of SIF's theory of impact: when the right capital supports the right leaders, strategies move from early validation to sustained scale.

Each interview explores
  1. 1
    The strategy underpinning each firm's impact and return profile
  2. 2
    The role of SIF's partnership in strengthening the firm's trajectory
  3. 3
    The personal journey of each leader, and key lessons learned or advice they have from their time in the field

Representation Metrics

At Capricorn and SIF, we value different backgrounds and lived experiences. Across the industry, representation remains uneven. Recent data shows progress at junior levels, with increased numbers of women and minorities at this tenure, but persistent gaps remain in representation across senior decision-making roles in private equity and venture capital. On the following page, we present gender and race representation data across SIF and our U.S.-based portfolio firms, alongside gender data for international investments. Consistent with data availability, we focus on gender globally and race/ethnicity in the U.S.

By disclosing these metrics, we aim to contribute to a more transparent private markets ecosystem.

Data collected across three levels
  1. 1
    Investment key decision makers
  2. 2
    Investment team
  3. 3
    Non-investment team
Investment Team Key Decision Makers, gender breakdown66%34%

Investment Team Key Decision Makers

Investment Team

Investment Team, gender breakdown66%34%
Non-Investment Team, gender breakdown59%41%

Non-Investment Team

Ownership

Ownership, gender breakdown68%17%13%3%
Investment Team Key Decision Makers, racial breakdown58%21%11%5%5%

Investment Team Key Decision Makers

Investment Team

Investment Team, racial breakdown48%28%12%9%4%
Non-Investment Team, racial breakdown53%25%12%8%3%

Non-Investment Team

Ownership

Ownership, racial breakdown53%19%15%13%1%

Disclaimers

This document is not an offer for any product or service. Any impact goals are aspirational and not guarantees or promises that all such goals will be met by any current or future portfolio of investments.

Any impact goals are aspirational and not guarantees or promises that all such goals will be met. There is no guarantee that any investment or company will have or create a positive impact or that any impact considerations by Capricorn Investment Group (“Capricorn”) or its investees will ultimately align with the goals, beliefs, or values of Capricorn or any individual investor or other asset managers or market trends. Any measures implemented in respect of such impact goals, targets, commitments, incentives, initiatives, or outcomes may not be implemented or immediately applicable to the investments of any funds managed by Capricorn or its investees, and any implementation can be overridden or ignored at the discretion of Capricorn or its investees. Impact goals may be subject to change.

The inclusion of investment management firms in this report is not an endorsement of these firms by Capricorn.

The information contained herein has been prepared solely for informational purposes and is not an offer to buy or sell, or a solicitation of an offer to buy or sell, any private fund interests or to participate in any trading strategy. The information contained herein reflects Capricorn’s current views and opinions with respect to, among other things, future events and financial performance. Capricorn generally identifies forward-looking statements by terminology such as “outlook,” “believe,” “expect,” “potential,” “continue,” “may,” “will,” “should,” “could,” “seek,” “approximately,” “predict,” “intend,” “plan,” “estimate,” “anticipate,” “opportunity,” “comfortable,” “assume,” “remain,” “maintain,” “sustain,” “achieve,” “see,” “think,” “position” or the negative version of those words or other comparable words. Any forward-looking statements contained herein are based upon historical information and current plans, estimates and expectations. The inclusion of this or any other forward-looking information should not be regarded as a representation by Capricorn or any other person that the future plans, estimates or expectations contemplated by Capricorn will be achieved.

These investments are meant to show a portion of the current Capricorn portfolio and is not intended to be representative of current or future portfolio of investments. A complete list is available upon request. Past performance is not indicative of future results. No guarantee of investment performance is being provided and no inference to the contrary should be made. It should not be assumed that an investment in any fund managed by Capricorn or its affiliates will be profitable.

All metrics have been provided by portfolio companies.