 Hi everybody. I'm very pleased to welcome to the stage for our closing part of this morning session three very distinguished colleagues. On my immediate left is Matt Bannock, who is the managing partner of the OMIDIAR network, but also has been the co-chair of the U.S. National Advisory Board on Impact Investing. Next to him is Jonathan Greenblatt, a great friend and colleague who is also special assistant to the president and director of the White House Office of Social Innovation and Civic Participation. And from the farthest away, and farthest away from me is Ronald Cohen, whom I first met when I was a young leader starting my own community investment organization. And Ronald, today is the chair of the social, sorry, the social impact investment task force established by the G8 countries. So we're here actually to reflect on what's happened between last year and this year when Matt was on stage and was talking to us about the development of this task force. And so my first questions are for you. You've had a very interesting role. You were telling us last year at this time what might happen in the 12 months that have occurred since then. So tell us about what's evolved and what are the recommendations that have come out of the advisory task force. Yes, so we first of all, good morning everybody. And it's great to share the stage here, however briefly, with Sir Ronald, with Jonathan, who've been kind of instrumental in this process. But as Penelope was saying, I was here last year talking about the launch of the National Advisory Board on Impact Investing. And our task was to work together as a community of Impact Investors and come up with a set of policy recommendations for government that we were hopeful would help kind of move the needle and help government become a true partner in the quest to really accelerate the growth of Impact Investing. And I've been privileged to be co-chair of the National Advisory Board with Tracy Flange on Social Finance. And I think we've made, I'm here to say we've made tremendous progress. We've launched a report. It's always good to come with a prop here. We've launched a report. I assure you it's a fascinating read of some 51 pages, a chock full of fabulous recommendations about what can be done, what government can do to help us accelerate the sector. And there are recommendations basically fall into three buckets. One is about removing regulatory barriers. And here there are a whole host of things. For example, foundations currently are investing more and more in for profit entities with a social purpose through what are called program related investments or mission related investments. But there more can be done to clarify and enhance the regulations so that additional money can flow into PRIs and MRIs. And that's just one example that can be, is really important in terms of reducing regulatory barriers. The second area is about making existing programs more efficient, more effective. And here again there are a whole host of examples of things that we can do. One thing, one organization I'm pretty familiar with and we work with at the mid-air network is OPIC, the Overseas Private Investment Corporation. And OPIC has done a tremendous job in providing debt to U.S. companies who are doing fabulous work overseas. But there are also constraints within OPIC's charter. For example, they can't provide equity, which can be the most catalytic of capital types. So in our recommendations in the report, we call upon greater flexibility, on giving, providing greater flexibility for OPIC and finding other ways to make government programs more effective. And finally, there's a set of recommendations in the report about ways in which government can continue to catalyze the impact investing market. It's so interesting that people sometimes shy away from government and see it as an impediment. The reality is government plays a critical role in so many industries. Think of energy, think of the internet. Great example is venture capital industry with which many of us here in the Bay Area are familiar. The venture capital industry really took off when government promulgated more inclusive recommendations around how pension funds make their investments. And again, here there are a number of specific recommendations we make. For example, we encourage the development of the Global Development Innovation Fund, which is being pioneered by USAID and DFID in the UK. And we think there are a number of other examples where government can really help catalyze markets. So those are the big three, we think, are reducing the regulatory barriers, increasing the effectiveness of programs, and catalyzing more investment and impact investing. Thank you very much. This is going to be tough. We're limited on time, and I know I already have a million questions, and I'm sure you do too. But I'm actually going to switch order a little bit. Ronald, when you listen to Matt and you think about this audience out here, you've got entrepreneurs, investors, a quite a diverse audience. Why should they care about what Matt just said? Thank you, Penelope. And may I say it's just, do you mind if I stand? You may do whatever you wish. Yeah. It's great to be here with you in Silicon Valley. I started out to the age of 26 as an entrepreneur and a venture capitalist. Used to have an office in Silicon Valley. And I'd like to answer Penny's question by saying, what brought me to this area is when the British government 14 years ago asked me to look at the issue of poverty and look more entrepreneurially at how we could cope with it. And what I realized is that a social entrepreneur, somebody who wants to devote their career and their effort, and their resources to helping others can't access capital in the way that a business entrepreneur can. And that's what impact investment is about. Enabling social entrepreneurs, whether they're working through not for profits, or for profits, to raise the capital they need in order to improve the lives of others, or the environment which improves the lives of all of us. And I guess that's the reason why all of you are here. And when you listen to what Matt was saying, what Matt is saying is there've been some evolutions in thinking, which bring us to a tipping point today. And government has to push us over the tipping point. The evolution of thinking is 19th century talked about financial return. 20th century talked about risk and return. 21st century talks about risk, return, and impact. Next evolution in thinking, we've all assumed that you can't measure impact forever. But through the development of social impact bonds and in other ways, we've begun to realize that you can measure social impact. And that if you set clear impact objectives, and you measure their achievement, it helps you to raise your game. And if government is prepared to pay for success, or if foundations we heard you deferred in its very eloquent explanation of all the things, the pioneering things that Rockefeller Foundation have been doing, if foundations are prepared to step in, and pay for success. Then we begin to have a world where those who achieve a social performance can get remunerated for it. And they can access capital the same way a business entrepreneur that delivers profit can. In order to make that happen. We need two big enabling moves by government. And that's what the task force report is going to be pushing when it emerges in two weeks time on September 15th. And I want to please all of you to watch out for it. And we want a clamorous response to the report. Thank you. What the report basically will say is beyond what I have said already. Government needs to look at the fiduciary duties of trustees of foundations and of pension funds. In the same way that Arissa legislation got money to flow into venture capital into my first venture capital funds and others. In that same way, we want money to begin to flow from foundations and pension funds using their endowments. This involves a redefinition or a clarification of their duties. That the returns they're trying to achieve are not just financial returns. They're financial and social returns. And in my country, the law commission has been working on clarifying this. So I'm hopeful that the United States can lead in this area. The second area is for government to make it much easier to enter into the sort of pay for success arrangements that Judith was talking about this morning, whether it be for international aid, whether it be domestically, whether it be for social issues or for environmental issues. If government is prepared to sign or if a foundation or a corporation is prepared to sign a contract that says if you improve the dropout rate from school, if you improve the homelessness rate, if you improve the rate of recidivism, if you improve the attainment levels in underprivileged neighborhoods, then we will pay you for it. And the amount we pay you will enable your investors to get a return, but it'll be a fraction of the saving. And the saving itself will be a fraction of the value created for society. Sir Penelope, that's what I take from what Matt is saying. That was eloquent and brilliant. I'm in a terrible bind. Our clock is running down here, you know, and I have so much to say to these fellows and want them to say to us, but Jonathan, thinking about how this becomes real, this policy becomes real. What's your sense of the climate for making these kinds of policy changes that Matt and Ron are alluding to here in the US anyway? Well, so first of all, I think I would say that the climate is pretty good and I'm pretty encouraged. I think for all of you to know, you know, Washington is a long way away from the Bay Area and from Silicon Valley. But the fact of the matter is something very significant happened with the creation of the task force that Sir Ronald chairs and with the establishment of the advisory board that Matt co-chairs. You had a blue chip group that came together with representation from Goldman Sachs and Morgan Stanley and the Rockefeller Foundation and the Ford Foundation and entrepreneurs like Seth Goldman from Honest Tea and academics like Kathy Clark who is up here earlier. So you had this remarkable non political group that came together and said, you know, what White House government, this is what we need you to do in order to lead. The good news is that the president deeply believes in impact investing. He believes in social innovation more broadly. It's why he created the Office of Social Innovation, why he launched the Social Innovation Fund, why he's pioneered paper success and social impact bonds, why he's championed cross sector leadership. And this he believes impact investing is part of a strategy of accelerating economic recovery and boosting job creation. So this book, this report has some great recommendations in it. And they're all we're already starting to see some progress. So this summer on the hill, there was bipartisan legislation proposed in the house and the Senate to create a $300 million fund at Treasury, a paper success fund that will basically create the the credit enhancements, the outcome payments and will essentially be for the social impact bond field, what the CDFI fund was at Treasury for Community Development Finance, or what the SBIC program has been for venture capital. So it can be tremendously powerful to unlock the kind of leverage that you see in those programs. Think 10x, think 20x on that $300 million proposal. The fact that again, Republicans and Democrats are behind it is really good news. The second thing I would say why I'm encouraged is this summer, as Judith mentioned, we hosted a roundtable at the White House on impact investing. And we had investors, many of them came out here from San Francisco, from venture capital firms, from asset management firms, some foundations who stepped forward and said, we're going to make commitments because we see impact investing, not as a trade off between impact and returns, but as a way to drive alpha, as a way to deploy capital, as a way to create value. They made over $1.5 billion worth of new commitments this summer. It wasn't the fact that they were Dems or Republicans, it was this is where the market is headed. So I think they're very encouraging political currents, which we can look at. They're very, very interesting developments on the investment side, which we can look at, which give us great, great confidence that there's a lot of opportunity moving forward. It's just so heartening for me to be on this stage, you know, and listen to the idea of these kinds of systems solutions emerging, you know, it's really so exciting. The other thing I would add Penelope is Socap has been at this now for what, eight years? Yeah. This intersection of money and money and meaning and so many of us, certainly on the stage and in the audience are committed to using all tools we have to have a positive impact in the world. And this report and this effort with the task force, this is all about marshaling that same ethos, that same energy that Socap has helped bring along for so many years into the public sector as well and getting government as a partner so that we can take this to the next stage. So it's completely resonant with your work here. And again, I've just been delighted to serve with these two gentlemen and trying to push this forward a little bit. Well, we're going to do something amazing as a group. These fellows and I are going to actually end on time. But one thing that I want to make sure that I have a chance to ask one of you, so I'm going to make it, Jonathan, is in 30 seconds. If you are a reporter for the rest of the morning and you're going to go out with your mic and interview this audience, what would be the one question you'd want to ask them? What would be the question that I would want to ask? Yeah, you're a reporter. You got a mic. You got the rest of the morning and you've got this audience. Right. That's a hard question. I think I guess what I would say is what are you going to do to make an impact on these issues? Great. So are you going to write your congressman? Are you going to write your senator? Are you going to write me and tell me what are the issues that you think matter to you that you want to see the administration undertake? And so not only will I ask that question on behalf of everyone in the room, I'll give you an answer. So my email address is innovation at who.eop.gov. So there's the question. You should email me with what you think the White House and the President should be doing to move this ball forward or you should tell me what you are going to do to advance the recommendation. And I want you to do this. I really, really want us to do this because that's the power of SOCAP. And so you've had an invitation from Jonathan to do that. And for all of these people and the amazing work that these committees have been doing, it's our job to advocate. And so I hope you'll do that with me. So let's celebrate the end of our morning session with a round of applause for the wonderful men.