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Impact Investing a Great Alternative: Incapital’s Ricketts


If you’re looking for more than a pure financial return, socially responsible investing may be a great alternative, Tom Ricketts, Incapital chairman and owner of the Chicago Cubs, told CNBC’s “Squawk on the Street.”

Investing in a 'Virtuous' Asset Class

Since 2005, Incapital has been working with the Calvert investment note program. Incapital has helped raise $160 million for the Calvert Foundation, a nonprofit organization that invests in disadvantaged communities, and created 200,000 jobs both in the U.S. and overseas.

“Every dollar that you put into a Calvert investment note goes into a community,” Ricketts said. “If you’re looking to do something with your cash that gives you a little more than a pure financial return, this is a great alternative.”

Some of the money goes to micro-lending, but “the majority goes to community lenders in the U.S. — people that are helping to find options affordable housing or investments in challenged neighborhoods,” Ricketts added.

Return on investment can be up to 2 percent. “On a relative basis it’s right in the range of other fixed-income investments,” Ricketts said. “If you were going to consider this kind of investment, the opportunity cost probably hasn’t been this low in a long time.” 

Correction: An earlier version of this story gave the wrong title for Ricketts.