Edinburgh, 2nd February 2017 – The Social Stock Exchange – Europe’s only public market for impact investing – has today confirmed that it will be undertaking a four-month feasibility study with The City of Edinburgh Council.
This will seek the views of local business leaders and potential investors to assess the viability of launching a Social Stock Exchange in Scotland, allowing businesses that deliver a social or environmental impact easier access to capital markets.
Cllr Alasdair Rankin, Finance & Resources Convener, City of Edinburgh Council, commented:
“We know from our ongoing work in developing a 2050 Vision for Edinburgh that residents yearn for a more compassionate and equal city and are focused on narrowing the gap between rich and poor. Set against a backdrop of falling council budgets, we are keen to explore new ways of helping businesses to raise the funds they need to deliver much-needed services to local communities.
“Edinburgh, and indeed Scotland, is already home to a growing number of businesses that deliver a real social or environmental impact and, through this analysis, we hope to learn more about how we can help these businesses access capital – and indeed allow investors to back these initiatives.
“As a nation we’re already seen as leaders in fields ranging from renewable energy to social inclusion and, as capital city and financial centre, we feel we are best placed to host and support a Social Stock Exchange and to further develop our world-class reputation.”
Impact investing is where a project delivers both a financial return as well as a measurable social or environmental benefit. The concept is already well established in the country, with bodies such as Social Investment Scotland being recognised as a thought leader in the sector. A Social Stock Exchange will allow retail investors of any size to buy and sell shares in projects that they feel passionate about supporting simply by contacting a high street or online stockbroker.
Mike McCudden, Director of the Scottish Social Stock Exchange, commented:
“Investing for impact is a significant step forwards in democratising financial markets. Instead of a fund manager pushing your savings into an anonymous vehicle, you can instead direct that money in a way that not only provides you with a financial return, but also in a way that improves society. The model has already proven popular in England and initial feedback from Scots – both those living at home and the expatriate community – has been hugely supportive for this venture.”
The Social Stock Exchange is committed to localising public capital markets, giving all investors the opportunity to back social entrepreneurship that can have a real impact in the local community. During 2016, The Social Stock Exchange collected accolades for innovation from organisations including ADVFN and The Guardian Sustainable Business awards, and was also highly commended in the businessGreen leaders awards.
The Social Stock Exchange was founded in 2013 and now has 43 members with a collective valuation of over £2bn. For further details on how to apply for membership or to invest in an impact business, visit www.socialstockexchange.com.
About the Social Stock Exchange
The Social Stock Exchange provides access to the world’s first regulated exchange dedicated to businesses and investors seeking to achieve a positive social and environmental impact through their activities. The aim of the exchange is to help these businesses connect with investors and unlock capital at scale. All issuer member companies must meet a rigorous set of criteria before joining, including the publication of an Impact Report.
Approved membership of the Social Stock Exchange stands at 43 firms with a combined value of over £2bn.
In January 2015, the Social Stock Exchange and NEX Exchange (formerly ICAP Securities & Derivatives Exchange Limited) launched the Social Stock Exchange branded market segment for impact businesses.
The Social Stock Exchange Ltd (FRN: 625231) is an appointed representative of Kession Capital Limited (FRN: 582160) which is authorised and regulated by the Financial Conduct Authority (“FCA”) in the UK.
NEX Exchange is a Recognised Investment Exchange operating a regulated market and a growth market and provides a secondary market trading facility. NEX Exchange is supervised by the FCA.
For more information please contact:
Director of Communications, Social Stock Exchange
T: +44 7973 284 749
Chief Executive, Social Stock Exchange
T: +44 (0) 203 608 8056
Director, Scottish Social Stock Exchange
T:+44 (0) 7803 296125