The GIIN’s State of the Market is an annual benchmark series produced by the Global Impact Investing Network (GIIN). It tracks the scale, activity, performance, and allocation patterns of the global impact investing market over time, drawing on primary survey data from a diverse sample of active impact investors worldwide. The series provides longitudinal insight into how the impact investing market is evolving across investor types, geographies, asset classes, and sectors.

What the series tracks

Each edition captures a broad range of data from impact investors, including assets under management (AUM), investment strategies by asset class and geography, sector allocations, financial and impact performance, investor motivations, blended finance activity, sources of capital, and the macro and industry challenges investors face. The 2025 edition also introduces specific coverage of climate solutions investing strategies and investee demographics.

The series is designed to provide a comprehensive picture of both the breadth and depth of impact investing activity, tracking not only headline AUM figures but also how investors’ priorities, behaviours, and perceptions shift from year to year. Longitudinal sub-samples — comparing respondents across one- and six-year periods — enable trend analysis that smooths out short-term fluctuations and reflects underlying market stability.

Methodology

The 2025 survey was distributed to 52,722 individuals at 25,882 identified impact investor organisations. Two questionnaire forms were used: a full survey launched in January 2025 covering six sections (Allocations, Volume of Capital, Financial and Impact Performance, Challenges and Progress, Special Trends, and Impact Measurement and Management), and an abridged version launched in February 2025 focused primarily on allocations. Both surveys closed in late March 2025.

After data cleaning, 429 responses were usable, with 374 from active impact investors who had made at least one impact investment. All data is self-reported and denominated in USD. The GIIN applies systematic data cleaning, outlier removal (beyond two standard deviations), and cross-referencing with prior submissions to test data veracity. Geographic classifications adhere to the United Nations Statistics Division (UNSD) taxonomy.

Longitudinal analysis is conducted on two repeat-respondent sub-samples: 79 investors who participated in both the 2019 and 2025 surveys (a six-year trend), and 164 investors who participated in both the 2024 and 2025 surveys (a one-year comparison). These sub-samples allow for robust trend analysis across market cycles.

Key findings and themes from the 2025 edition

Impact AUM among the 2019–2025 repeat respondent sample grew at a compound annual growth rate (CAGR) of 21% over six years, despite total AUM growing at just 5% over the same period. The broader sample of 368 respondents reported $448.2 billion USD in impact AUM for 2024, with $49.8 billion USD deployed in new capital that year.

Impact capital remains concentrated in high-income markets, particularly Northern America and Western Europe. Private markets dominate investment strategies, with 73% of investors allocating primarily to private equity and/or private debt. Financial services and energy were the top two sectors by AUM in 2025.

Three overarching trends are identified in the 2025 edition. First, impact assets demonstrate resilience amid global economic pressures, though investor behaviour is shifting towards more mature and publicly traded companies — reflecting a degree of risk aversion in the current economic environment. Second, there is a notable misalignment between investor self-perception and actual performance data, particularly around impact-washing and fragmentation, which the GIIN identifies as an ongoing challenge to industry credibility. Third, pullbacks in official development assistance create potential openings for impact investors willing to engage with underserved markets, particularly in emerging economies.

The macroeconomic environment weighed on investors in 2025, with inflation, interest rates, and general economic downturns cited as the most significant challenges. ESG backlash was also notable, with the majority of investors reporting it as a challenge, rising more sharply among US-headquartered investors than their non-US peers.

On financial performance, the majority of respondents targeted risk-adjusted, market-rate returns. Investors consistently set higher financial return targets for impact assets than for non-impact assets, yet reported higher actual returns on impact assets across nearly all asset classes. Satisfaction with impact performance outpaced satisfaction with financial performance by a considerable margin.

Relevance and uses for finance professionals

The State of the Market series serves as a primary reference for finance professionals engaged in or considering impact investing. It provides benchmarking data on AUM growth, return expectations, asset class usage, geographic allocations, and sector trends, enabling practitioners to assess their own strategies relative to industry norms.

The series is of particular value to asset managers, asset owners, development finance institutions, family offices, and foundations seeking to understand how peer organisations are managing the balance between financial returns and social and environmental outcomes. The longitudinal data supports trend analysis relevant to strategic portfolio planning.

The series also offers insight into capital sourcing trends — including the growing role of pension funds and insurance companies as providers of impact capital — which is relevant for fundraising strategy. Coverage of blended finance structures and data-related challenges is pertinent for professionals navigating impact measurement and due diligence frameworks.

Finance professionals can additionally use the series to track evolving industry norms around impact measurement and management, including the adoption of tools such as IRIS+, the Impact Principles, and the Impact Quantifier, which are referenced throughout the report as standards against which investors are encouraged to benchmark their practices.