Today the most common strategy when investing sustainable is by the principle of exclusion. Bys olely excluding certain sectors, instead of investing directly in green innovations, uncertainty of the true impact of the investment is created.
The insecurity faced by the investors is therefore a result of the asymmetric information in the market regarding impact investments. Meanwhile, many green innovations are created by companies all over the world. In a business and investment landscape which is characterized by greenwashing and asymmetric information these entrepreneurs face difficulties communicating the true impact of their innovations.
Therefore, our vision is to bridge the gap between the two parties by creating a platform where they can communicate using the same language. Viridi Capital will make a financial and full impact analysis on suitable companies and innovations. This ensures investors’ capital is allocated to companies with a potential to reduce emissions and that has a true impact on the environment. The impact analysis is made using the established Avoided Emissions Framework. By creating a platform containing investors and companies providing impactful innovations, a network is built in which capital is moved to the right innovations, generating value for all parties involved. As these companies get a possibility to flourish, a true environmental impact can be made, bringing us one step closer to reaching the SDGs.