How does an investment in New Profit differ from a donation directly to an organization?
An investment in New Profit differs from one made directly to an organization in that it is significantly leveraged. Investments in the New Profit fund are leveraged in at least a 2:1 ratio by the intellectual capital and strategic resources contributed by New Profit, Monitor Group, and other partners, and continuously monitored by New Profit portfolio managers. In addition, New Profits blind fund enables individuals to pool their resources and spread their risk across investment in a collection of rigorously screened organizations. An individual investor does not typically have the resources to do equivalent due diligence or manage spread of risk on their own.
