Part I: A Hero’s Journey : Impact and Socially Responsible Investing

"We all carry a quality of inner greatness and the capacity to engage the hero within."

In Joseph Campbell's landmark work, "The Power of Myth,” Campbell identifies a theme common to humanity throughout history which he refers to as "The Hero's Journey." The hero’s journey usually begins when an individual feels a significant lack in the daily quality of life of a community and its members. This person is then compelled to embark on a journey in search of resolution, resulting in a series of adventures beyond the ordinary, either to attain some expanded life-invigorating idea or to recover an essential aspect of inner experience that has been lost to the community. In facing his or her fears and limitations, the hero discovers a pathway towards greater personal understanding, which in turn leads to the betterment of the whole community.

This linking of the individual inner transformation with the progress of the community is what makes it a hero's journey. The hero archetype, far from being an historical myth, is an ever-present dynamic between individual and society. The desire to realize our own hero's journey is always beckoning. From the courageous act of giving birth, to the dedicated pursuit of world peace, even to the creative action we take via an investment in the marketplace, we all carry a quality of inner greatness and the capacity to engage the hero within us.

The Impact Investment Roadmap: Integrity + Purpose = Money Maturity
The first two decades of the 21st century have delivered some of the largest economic shocks the US has ever experienced: the tech wreck of 2000 – 2002, The mortgage induced meltdown of 2008 – 2009 and the Covid pandemic we have just come through. We all feel challenged in the face of accelerating technological change, rising economic uncertainty due to unprecedented debt and deficits, and the clear breakdown of social and political cohesion. Enter the hero’s journey. Along with the rise of uncertainty, the myriad heroes among us are pursuing a deepening inquiry into the root causes of our unrest and are discovering innovative solutions towards a more comprehensive design. The growth of Impact investing and ESG analysis is the culmination of a near 50 year process that has served to evolve the financial industry away from measuring success exclusively through the lens of financial profit (the single bottomline) to a more resilient matrix that includes Environmental, Social and Governance (ESG) dimensions (the Triple Bottomline).

This maturation within our financial system can be seen as a reaction against our outdated colonial “command and control” roots which can be traced back to the Papal Doctrine of Discovery of 1493. The economic model that co-evolved with the Doctrine of Discovery is rapidly approaching it’s environmental and social limitations. The aggressive promotion of an extractive, materialistic and disposable consumer economy simply is no longer viable in the 21st century. Sophisticated media campaigns tell us that we can only be fulfilled if we had more money and stuff. Images and messages bombard us, selling the mirage of easy money, feeding a culture of “get mine and get out” instead of an ethic of civic participation and planetary accountability. For the unwary, these consumerism hooks act as the sirens on the shore luring us with the promise of happiness and fulfillment which has spawned a consumption culture that has yet to come to terms with the societal and environmental consequences of this lifestyle. Impact investing using ESG (Environsmental and Social Governance) analysis is a practical design innovation that allows us to expand our definition of investment success to include the impact on the health of the environment and our communities. It becons the hero within to redefine our relationship to money in support of a more holistic and resilient future.

And here is where the soul searching really begins. What really motivates us in relationship to money? Does our motivation stem from our own conscious creation or is it borrowed and/or learned from childhood conditioning? What does it take to extract ourselves from the quicksand of naïve belief systems, onto a firm foundation of action consistent with our core values? This is where we begin our own hero's journey. In Dante Alighieri’s classic hero's journey, “Dante's Inferno”, Dante's pilgrimage to know God is NOT a path straight up the mountain but down through the inferno of the ego. It is only by purging himself of the habits of suffering spawned in childhood innocence that Dante is emotionally and psychologically free to be guided to mature adulthood.

The emergence of the Impact and ESG investment industry is in part an outward expression by those investors who are looking deeply within and facing their own inferno. By beginning the investment planning process with an inner look at who we are and how we got this way, we are then free to build an investment strategy that is more aligned with our true life’s purpose. Ancient Vedic culture identifies life purpose as Dharma. Financially speaking, alignment with Dharma moves us into action with a higher degree of personal integrity in relationship to our investments. To be sure, we must still gain market and product knowledge and apply sound ESG analysis that includes financial metrics, social & environmental screening, shareholder advocacy and direct Impact investments. The resources listed at the end of this article can help you in this stage of the journey.

Empowered with a greater sense of integrity, Impact Investors equipped with the ESG toolbox are putting their money where their hearts are. Judging from the growth of new money being invested under the Impact/ESG banner, estimated at $17.1 trillion as of year-end 20201, the hero's journey is producing results across the triple bottom line: socially, environmentally and economically.

The hero’s journey lesson is that Impact Investing is not only about taking actions in the marketplace via shareholder activism, social screening or community Impact investing. It also requires doing the inner work necessary for greater personal understanding of who you really are and what you are committed to creating in the world with your investment dollars. Your hero's reward will be greater clarity of purpose, degree of integrity and maturity in relationship to your money.

PART 1 | PART 2 | PART 3 | PART 4

Resources:
• The Seven Stages of Money Maturity: Understanding the Spirit and Value of Money in Your Life, by George Kinder. Delacourt Press, 1999
• US SIF: The Forum for Sustainable and Responsible Investing, www.ussif.org
• American Association of Individual Investors, www.aaii.com

Footnotes:
1. US SIF - http://ussif.org/resources/sriguide/srifacts.cfm