What Is Social Impact Investing and How Does It Benefit Society

Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak e-Term Plan

Protect Your family’s financial future with Kotak e-Term Plan. Know more

Kotak Assured Savings Plan

A plan that offer guaranteed returns and financial protection for your family. Know more

Kotak Guaranteed Savings Plan

A plan that offers long term savings and insurance in one premium. Know more

Kotak e-Invest

Insurance and investment in one plan with Kotak e-Invest. Know more


Get a Call

Enter your contact details below and we will get in touch with you at the earliest.

  • Select your Query

Thank you

Our representative will get in touch with you at the earliest.

Kotak e-Term Plan

What Is Social Impact Investing and How Does It Benefit Society?

Social Impact Investing - Find out what is social impact investing and how it benefits society here on this article. Visit Kotak Life to know more on Life Insurance

  • Mar 15, 2021

There has been a considerable shift towards fair work practices, green initiatives, and equal wages in the last couple of years. Companies are more conscious of maintaining an ethical and equal workplace culture than ever before. As a result of this investors, too, are now adopting social investing in their financial plans. The focus is no longer only limited to high returns but also the effect of money on social initiatives that can benefit society as a whole.

Here are some things to know about social impact investing and how it benefits society:

What is social impact investing?

Traditional investing only caters to financial goals, whereas social impact investing refers to investments that cover social, environmental, and financial returns. Social impact investing is a concept that concentrates on investing in sustainable businesses like renewable energy, conservation, etc. This way, the money is invested in gaining returns and promotes fair and ethical work practices at the same time. This contributes to the betterment of society and the planet at large.

Among the list of investors that are currently making social impact investments are:

1. Non-government organizations (NGOs)

2. Individual investors

3. Insurance companies

4. Religious organizations

5. Banks

6. Family-run businesses

7. Private institutions

What are the benefits of social impact investing?

Social impact investing can have many benefits, such as:

1. It helps investors be a part of social change: The idea that governments alone are responsible for bringing change in the world is now slowly being rejected. More and more people and businesses are taking up social and environmental initiatives that can make the world a better place for all. Social impact investing allows investors to invest in businesses that are crusading causes like climate control, workplace abuse, poverty, healthcare, energy conservation, etc. This way, they get to be an instrumental part of reforms.

2. It offers a stable balance of risk and reward: Social impact investing can be less volatile than other investments. This is because they are far less reactive to market fluctuations than other kinds of investments. By investing in social impact instruments, investors can maintain a diversified portfolio that not only reduces their risk but also benefits sustainable businesses.

3. It provides investors with a sense of moral satisfaction: The fight between money and morals is an age-old battle. However, social impact investing balances this out by providing investors with the right opportunities. They can earn money and build their wealth while also contributing to society by being on the bandwagon of change.

4. It gives high returns: Social impact investing is gaining momentum, and so are its returns. With a high demand for environmentally friendly goods and services, equal wages, clean energy, etc., the future of the world lies in social impact investing. Sustainable businesses are becoming popular by the day and are expected to show capital growth in the years to come. This translates to better returns for investors too.

How to make social impact investments?

Here are some things to note:

1. Set the right goals: Social impact investing is not reduced to earning profits only. It also encompasses making a positive social change in society.

2. Look for the right opportunities: Businesses that promote and follow transparency, sustainability, equality, etc. are at the forefront of social impact investing. It is crucial to identify these companies.

To sum it up

Social impact investing is undoubtedly the future. Even though it may require some extensive research from the investors’ end as there are not as many social investing opportunities right now, the returns are as fulfilling and rewarding as traditional investments.

Kotak e-Term Plan

Download Brochure


  • Nominal Cost
  • Multiple Plan Options
  • Flexible Payout Options
  • Critical Illness Rider
  • Tax Savings
  • Long term Coverage

Ref. No. KLI/22-23/E-BB/492


- A Consumer Education Initiative series by Kotak Life

Similar Articles

Is it Worth Buying Disability Rider on Term Insurance?

Is It Advisable To Have Multiple Life Insurance Policies?

How Much Life Insurance Costs and How Much Insurance Cover You Need?

What Is Financial Planning?

Details Required To Be Filled In A Life Insurance Form

Guidelines for Linking Aadhar and PAN to Insurance Policies

What Should One Consider Buying: Term Insurance or Traditional Life Insurance

How Often You Must Review Your Life Insurance Policy?

Important Life Insurance Terms You Must Know

Digital Life Certificate for Pensioners Seeking Pension

Life Insurance Policy Closure

Choosing Between Short-Term & Long-Term Insurance Plans

Why Term Insurance for Women is Important?

5 Advantages of Life Insurance Going Digital

1 CR Term Insurance Plan: How to Pick the Best 1 CR Term Plan

What are robo-advisors in insurance?

Can You Transfer Life Insurance Policies to Another Company in India?

A Step-by-Step Guide: How To Make An Investment Plan?

Sabse Pehle Life Insurance

Customer Awareness on Information Security

7 Superficial Reasons People Avoid Buying Insurance Online

9 Most Important Things You Must Learn About Paying Life Insurance Premium

What happens to joint life insurance after divorce?

Comparing low premium term insurance Is Not the Only Factor While Buying Life Insurance

What is Minimum Life Insurance Policy?

What is Group Insurance?

5 Things to Keep in Mind While Buying Life Insurance Policy

How to Buy a Term Life Insurance Online

5 Benefits of Gifting Life Insurance Cover to Your Spouse

Different Types of Insurance Policies in India

What is Human Life value and a Human Life Value Calculator?

Adding A Child to Your Life Insurance Policy?

Life Insurance for Overweight Applicants

Why do I Need Life Insurance?

Role of Life Insurance in Your Financial Portfolio

क्या जीवन बीमा एक निवेश है?

6 Things You May Not Know about Life Insurance

Top 5 Common Life Insurance Myths and Facts

How Do Term Insurance Plans Differ for Smokers?

Why You Should Never Cancel Life Insurance Policy

What is Sum Assured in Endowment Policy?

All about IRDAI

Take 100% Responsibility of Your Family with Term Life Insurance

Benefits of Buying Term Insurance Plan for Senior Citizens in India

What Happens If I Stop Paying My Life Insurance Premium?

Most Common Life Insurance Riders to Enhance Your Existing Policy

Different Kind of Deaths that are Not Covered in a Term Insurance Plan

What Is The Life Insurance Penetration In India And How Does It Compare Globally?

Important Features of a Term Insurance Plan

Life Insurance Beneficiary

Term Insurance Tips for NRIs in India

Life Insurance and Retirement Planning

5 Reasons Why a Women Should Buy a Life Insurance

What Is Insurance Rider and It’s Benefits?

5 Easy Steps to Buying A Policy

What is the Difference Between Insurance and Reinsurance?

Why Renewal of Term Insurance Plan is Important

How to Choose the Right Life Insurance Policy for Your Age?

How to Select a Perfect Life Insurance Policy in India to Protect Your Future?

Is It Time to Review Life Insurance Policy of Yours?

Types of Life Insurance Or One Investment, Many Options

What are the Benefits of Endowment Policy?

Life Insurance vs Mutual Funds

Benefits of Term Insurance with Critical Illness Rider

Think About Life Insurance Sooner than Later

Insurance Changes You Need to Make Post Marriage

Health Insurance VS Life Insurance

First Job? Here’s Some Tips on How to Manage Finances

Why One Must Buy Term Insurance before 25 Years

Everything You Must Know About ULIP Riders

Nominee in insurance - A Complete Guide on nomination in insurance

How to Find the Best Term Insurance Plan in Seven Steps

Does Family History Affects your Term Life Insurance Rates?

How To Use Different Types Of Life Insurance For Retirement Planning?

Reasons Why Term Insurance Claims Get Rejected

Term Insurance Vs Car Insurance: A Budgetary Choice You'll Regret

Insurance Vs Investment - A Guide to Your Financial Goals

वरिष्ठ नागरिकों के लिए ऑनलाइन टर्म इंश्योरेंस प्लान खरीदने के लिए गाइड

FAQs on Life Insurance

Term Insurance Claim Process

Can An Individual Buy Multiple Term Insurance Plans?

Is Voluntary Life Insurance the Same as Basic Life Insurance?

What is an Endowment Plan?

Difference Between ULIP and Endowment Plan?

Different Types Of Life Insurance In India

All About Life Insurance and How It Works?

जीवन बीमा पर ऋण

ULIPs: Suitable for all

Voluntary Life Insurance Policy Vs Group Life Insurance

Beware of Phishing & Fraud Insurance Calls

Term Plan with Return of Premium (TROP)

What is the Current Trend in Term Insurance?

5 Things to Consider Before You Buy Life Insurance

Choose the Nominee of a Term Life Insurance Plan Wisely

NRI Premium Payment Options

Should You Buy Life Insurance After Getting Married?

भारत में सर्वश्रेष्ठ टर्म प्लान कैसे चुनें?

Why Your Family Should Know About Your Life Insurance Policy?

Role of IRDAI in the Insurance Sector

In India, should NRIs purchase life insurance?

Important Terminologies of Life Insurance

Term Life Insurance Vs Money Back Life Insurance

Guide for Buying Online Term Insurance Plans for Senior Citizens

Who Is A Nominee In A Life Insurance Plan?

Life Insurance and Millennials

6 Different Types of Insurance Policies

How to Calculate Human Life Value(HLV)?

When are Millennials required to take out a life insurance policy?

Are Deaths Due To Coronavirus Covered by Kotak E-Term Plan?

How to Revive the Lapsed Life Insurance Policy?

Life Insurance Plans for Women

Why Online Term Insurance Plans Cheap?

What is Underinsurance & The Dangers of Being Underinsured

How Does Life Insurance Work?

Types of Insurance You Must Invest in for Secure Future

Always keep your Nominee informed

What Is a Whole Life Insurance Plan?

5 Common Life Insurance FAQs and Answers

Can You Apply For A Life Insurance After Getting Heart Attack? Here is Everything You Need To Know

Does Life Insurance Policy Cover Covid Death?

Types of Life Insurance Policies in India

Does Life Insurance Cover Terminal Illness?

Why You Should Buy Term Insurance under the MWP Act (Married Women’s Property Act)?

Loan Against Life Insurance Policy

How To Choose The Right Life Insurance

Life Insurance for Overweight Applicants

Life Insurance Vs. Mutual Funds Investment

भारत में जीवन बीमा पॉलिसियों के प्रकार

10 Most Frequently Asked Questions - FAQs on Term Insurance

जीवन बीमा क्या है?

How Many Insurances Should I Have?

What is Insurance Coverage? Overview, Types, and Examples

What Is Staggered Payment Option Under Term Insurance Policy?

Various Term Insurance Premium Payment Options Available in India

Process of Filing A Claim For Life Insurance

All You Need to Know About Life Insurance - Its Benefits, Features, and Types of Life Insurance

Life Insurance for Millennials

What is the Difference Between Limited and Regular Pay Insurance Plan?

Is it Possible to Make Changes in a Term Plan’s Specification Post Purchase?

Why is Medical Test Important While Buying a Term Insurance?

5 Reasons Why You Need Life Insurance in College

Compare Different Life Insurance Products Offered By Kotak Life

Terms and Conditions of Term Insurance Plans

Term Insurance Vs Life insurance: Small Details, Big Differences

How to Buy a Life Insurance Plan?

All about Life Insurance Calculators

Unit-Linked Life Insurance (ULIPs) vs. Term Insurance

5 Smart Steps to keep in mind while buying term policies

When Should You Review Term Life Insurance of Yours?

What Should One Expect During the Medical Evaluation for Life Insurance?

How Much Life Insurance Cover Do I Need?

Best Insurance Plans in India

Term Life Insurance vs Accidental Death Insurance

Is it Possible to Reduce Life Insurance Premium without Affecting Sum Assured?

Savings cum Protection Plans Secures Your Family from Unforeseen Events

Key Things to Review in Your Life Insurance Policy Document

5 Ways to ensure faster settlement of claims

How to Customize Your Life Insurance Policy with Riders

How to Make Death Claims on Life Insurance?

Why Buying a Term Insurance is Important for all Parents

Why Life Insurance Is Always a Smart Decision

How Much Life Insurance Do You Need?

A Term Insurance Guide for Disabled People

All About Backdating in Life Insurance

What Is Surrender Value (Cash Surrender Value) in Insurance and how is it calculated?

Important Factors to Consider While Choosing the Right Term Period for Your Term Insurance Plan

Can a Term Plan be the Substitute for a Retirement Plan?

Is Life Insurance an Investment?

Staying Insured While Investing

Is Life Insurance For Millennials Really Needed?

Health Insurance VS Life Insurance

How to Choose a Life Insurance Policy

Difference Between Money Back and Endowment Policy

Life Insurance with Money Back vs Without Money Back

What is Life Insurance?

Why Do Life Insurance Agents Avoid Selling Term Plans?

Importance of Checking Claim Settlement Ratio before Buying Life Insurance

Biggest Life Insurance Myths

How do life insurance payouts work?

Difference Between Insurance and Assurance?

Do Your Financial Planning with Life Insurance!

What Is Investment Insurance?

Difference Between Term Insurance and Endowment Plan

Why do most Indians choose the wrong way to buy life insurance?

Term Insurance for Home Loan: How Term Plan Helps in Paying Off Home Loan?

Kotak Life Claim Settlement Ratio

All about Your Rights and Duties While Buying Life Insurance Policy

How to Choose Life Insurance for All Ages?

Choosing a Life Insurance Beneficiary

What is a Single Premium Term Plan and its Tax Benefit?

Can NRI Buy Life Insurance in India?

What Is the Procedure to choose a nomination in life insurance policy?

“Life” Insurance or “Death” Insurance?

Does Life Insurance Pay for Suicidal Death?

Do Life Insurance Premiums Increase Every Year?