How does social investment work?

Social investment works on the principle of mutual benefit. Investors invest their funds in projects that solve social problems, and the projects, in turn, bring them social and/or financial returns.

There are several models of social investment⁚

Philanthropy⁚ Donations and grants that are provided without expectation of financial return.
Social entrepreneurship⁚ Creation of social enterprises that solve social problems and generate profit.
Investing in social bonds⁚ Investing in bonds that are issued to finance social projects.
Mixed finance⁚ A combination of different sources of funding, including grants, loans and investments;
It is important to note that social investment is not always aimed at making a profit. In some cases, the goal may be solely social impact, and the financial return may be minimal or absent.

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