Establishment of Fund to Promote Child and Youth Welfare
We advised FIM in the establishment of the SIB fund focused on promoting child and youth welfare, including drafting documentation and addressing taxation questions.
Social impact bonds (SIBs) are a good example of a new form of investment, which seeks to achieve social goals in addition to financial profit.
The SIB fund established in this project is managed by FIM together with the Finnish Central Union for Child Welfare, the participating Finnish municipalities and the Finnish Innovation Fund Sitra. The activities of the fund are guided by representatives of the municipalities, the Central Union for Child Welfare and partner organisations providing child and youth services. The assets of the fund are used to finance projects promoting child and youth welfare. The fund’s profit is tied to the achievement of joint welfare goals, and the cost savings achieved are distributed between the municipalities and the fund’s investors. The fund is intended for professional investors.