This report explores new frontiers in impact value creation across private markets. The report provides an introduction to impact value creation, key considerations for the financial materiality of impact, and sources of impact value creation. It also discusses playbooks and levers for impact value creation, followed by several case studies that demonstrate impact value creation in practice.

The report emphasises the importance of considering impact in conjunction with financial returns when investing in private markets. It outlines various modalities for impact value creation, such as transformation, capacity-building, and coordination, and highlights the financial drivers associated with each modality.

The report also puts forward seven levers for impact value creation, including stakeholder engagement, workforce initiatives, and impact risk management. It notes that investors should leverage their unique sources of impact value creation and targeted modalities to assess the financial materiality of impact and identify visible and obscured opportunities.

Finally, the report encourages impact investors to actively engage in fostering stakeholder inclusion by interacting with target beneficiaries, commissioning stakeholder-level studies across portfolios, and monitoring stakeholder feedback. In conclusion, the report calls for a deeper evidence base exploring the linkage between impact value creation activities and financial performance.