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IIX-Impact-Report-2022

Impact Report 2022 - Transforming the world for equitable and sustainable growth.<br><br>Web link: https://iixglobal.com/impact-report-2022/

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IIX-Impact-Report-2022

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  1. IMPACT REPORT 2022 TRANSFORMING THE WORLD FOR EQUITABLE AND SUSTAINABLE GROWTH 1 www.iixglobal.com

  2. Contents Message from our CEO 2 1. Explore: About IIX About IIX IIX Ecosystem Alignment with UN SDGs Impact Partners IIX Growth Fund Women’s Livelihood Bond Series Women’s Catalyst Fund Research and Advisory IIX Institute IIX Values IIX Foundation 3 4 5 6 7 8 9 11 12 13 14 15 2. Grow: IIX in 2022 2022 Highlights Overview: IIX Ecosystem Bringing it all together for Vietnam IIX Showcase: Impact Stories The Orange Bond Initiative 16 17 18 19 20 22 3. Arise: IIX in 2023 Leveraging technology Looking ahead: ARISE Sustainability Roadmap Impact Investing Tomorrow 23 24 25 26 27 4. Acknowledge: People behind the impact People of IIX IIX Partner Network IIX’s Impact Committee 28 29 33 34 Appendix IIX Impact Assessment IIX Values Scoring and Platform IIX Sustainability and Beliefs Pyramids 35 36 39 40 1

  3. A MESSAGE FROM OUR CEO At IIX, we have been moving forward with the single focus of building a more equitable world as the foundation for sustainable peace for the last 14 years. The world we envision and are working towards everyday values women, supports climate action, and builds community resilience. To catalyze the creation of this world, we are disrupting traditional finance —paving new paths in impact investing, reaching historically underrepresented geographies, and innovating per on-the-ground realities. 2022 was our biggest year yet. We empowered even more impact-driven SMEs to attract global investors and raise capital, uplifted women verifiably till the last mile, and worked to transform the impact ecosystem across 53 countries. We went deep in enabling the creation of effective impact ecosystem from the ground-up, specifically in Vietnam, collaborating with the Canadian Government. We solidified our standing as the leading impact ecosystem solution, leveraging technology, data, and capital to find space in impact finance for minority entrepreneurs, impact businesses, investors, and the public sector alike. In 2022, IIX also proudly lent form to the world’s first Orange Bond, the fifth instalment in the Women’s Livelihood Bond Series, mobilizing USD $50 million to empower ~300,000 women in the global South and formalizing a new asset class in gender lens investing. Through our work, as always, we are demonstrating proof of concept —impact-driven businesses are environmentally, socially, and financially viable. Stakeholder capitalism is a real kind of capitalism. Investing in women pays off many times over. We are the forefront of this vastly untapped opportunity for the financial sector. As the financiers of the 99%, we hope to inspire more impact market players to deploy additional capital and continue to transform financial markets. The hard work and dedication of our whole team made 2022 another successful one for our partners and the underserved communities we represent. Internally, IIX grew, strengthening our global presence and almost doubling our workforce, despite an economy fraught with post-pandemic hardships, war, and climate crises. By nature, an IIX-er is a Passionate, Resilient, and Equitable Maverick, fittingly abbreviated to PREM; the Sanskrit word for love. Even this Impact Report was drafted by a team of volunteers within IIX, who came forward to put out a reflection of IIX through their eyes, while engaging with colleagues across teams and learning more about the different verticals of our organisation. Here, at IIX, so much of the work we do is driven by love, for people and our planet. I am so proud to lead this incredible team as we raise the voices of underserved communities around the world. If in 2022, we reinforced our strong ecosystem foundation, in 2023 we look to leverage this foundation to ARISE: Actualize Real Impact for Sustainable Equity. Like the omnipresent Bodhi tree in IIX’s home country Singapore, we continue to thrive in the most unexpected of places. We invite you to join us on our journey of financial transformation. Durreen Shahnaz CEO and Founder, IIX 2

  4. 1 | Explore About IIX 3

  5. About IIX Impact Investment Exchange (IIX) is the pioneer in impact investing and a global leader in sustainable finance. IIX works to build an inclusive impact investing ecosystem focused on empowering women and underrepresented communities as critical enablers in the global climate transition. Through our work, women, the environment, and underserved communities are finally being given a value and voice in the global financial market. IIX Key Focus Sectors Energy Agriculture Education Healthcare Water Financial Inclusion Fisheries Energy Agriculture Education Healthcare Water Financial Inclusion Fisheries The core of all our work is Risk-Return-Impact (RRI), which has served as the blueprint for IIX to disrupt traditional finance, transform financial markets, and create many world-firsts. Our innovative series of products demonstrates that investing with a gender or climate-lens stabilizes returns, mitigates long- term risk, and builds political security —creating resilient economies and markets. IIX Global Footprint Our Impact to-date Our mission is to create one billion sustainable livelihoods by 2030, and we are on the direct path to making this happen. With a workforce and leadership comprised of people of colour (94% and 86% respectively) and majority women (57%), located in the Global South (98%), and women of color-owned and -run, IIX is solving problems we live through, tackling our own on-the-ground realities. 4

  6. IIX Ecosystem IIX collaborates with impact investors, market enablers, and businesses alike to design and implement innovative finance mechanisms. Our platforms, products, and services work in tandem to cover the entire impact capital value chain. The impact ecosystem IIX pioneered has a holistic and integrated approach to creating lasting positive social and environmental outcomes, bridging gaps in the financial system. IIX plays a formative role in building the ecosystem through two pillars: 1. Mobilizing Capital We provide avenues of support for SMEs at every step of their growth journey —from sourcing, upskilling, and capital raising support through Impact Partners, to financing via IIX Growth Fund and the Women's Livelihood BondTM Series supported by the Women’s Catalyst Fund. 2. Mainstreaming Impact We educate and train through the IIX Institute; publish papers, share thought leadership, and manage inclusive programs through Research & Advisory; and enable access to affordable impact measurement and verification tools through IIX ValuesTM. IIX’s ecosystem approach recognizes that businesses can have a significant impact on the world beyond their financial performance —they have a responsibility to contribute to the well-being of their communities and the environment. Our data-driven, tech-enabled ecosystem helps IIX support SMEs at all stages as they innovate and compete while achieving their goals, as depicted below: IIX’s ecosystem approach —multi-pronged and multi-stakeholder —catalyzes long-term change to benefit society’s most vulnerable communities and find intersectional development. In this way, IIX effectively empowers minority entrepreneurs, bridges gaps in access, and brings finance to the 99%. 5

  7. Alignment with UN IIX was established with the core intention of generating deep and lasting sustainable impact. As we strategically address systemic inequity, we meaningfully facilitate the achievement of all 17 of the United Nations Sustainable Development Goals (UN SDGs) and the Agenda 2030. Our alignment with the SDGs is either direct, through our founding mission —to create an inclusive financial system where women, the environment, and underserved communities are valued and have a voice —and work, or indirect, through the enterprises our ecosystem finances or otherwise supports. IIX architects a development pathway that addresses gender empowerment and economic upliftment while facilitating resource mobilization towards achieving these outcomes. IIX seeks to recognize the value, voices, and power of the female workforce in the global marketplace through innovation and structural reform in collaboration with governments, financial institutions, and international development organizations. In this way, IIX foundationally aligns with the following SDGs: IIX facilitates climate action, builds resilient communities, and safeguards natural ecosystems from the ground up through education, resource mobilization, research publications, and policy advisory. Through our work, IIX also directly aligns with the following SDGs: Furthermore, through IIX’s innovative financial offerings, ecosystem approach for SMEs, and portfolio of investments, we indirectly facilitate the achievement of the following SDGs: The rest of this section showcases the IIX ecosystem, linking back to the journey of an SME and our key themes: mobilizing capital and mainstreaming impact. We end with a section on the IIX Foundation, the non-profit arm of IIX. 6

  8. Impact Partners Mobilizing Capital Impact Partners (IP) is the world’s largest private placement platform for impact investing, raising a combination of debt and equity for high-impact enterprises. Our tech-powered platform connects 1200+ investors operating across 18 countries in South and Southeast Asia, representing over US$12 billion in AUM, to 450+ high-potential enterprises that generate social and environmental impact alongside financial returns. IP has leveraged its unique position to generate sustainable returns for investors while supporting SMEs, a case study of risk mitigation for the impact ecosystem. The Journey of an SME IP provides customizedassistance to enterprises at all growth stages, supporting them with raising capital, impact assessments, business plans, and financial models. IP conducts due diligence before listing SMEs on the online platform, after which SMEs can: • connect with impact-oriented investors in search of growing impact enterprises, • identify, measure, and verify impact using IIX Values, and • upskill through courses on IIX Institute. IP also facilitates events that provide enterprises with direct touchpoints to investors, which allows enterprises to access new markets and enables investors to explore new sectors while catalysing partnership building. Deal Syndication IP Online Platform And Events Sourcing and Screening Hence, IP plays a pivotal role in the ecosystem on the demand and supply sides of capital, for enterpris- es and investors alike, through three avenues: 3. Impact Assessment & Impact Readiness 1. Pipeline Development 2. Investor Relations Hear from our clients: Impact investors and SMEs “The Impact Partners platform has been the most helpful stage to help smaller funds like us source and connect with a wide range of South- east Asia impact enterprises. We appreciate the support provided by the team who are always hands-on and are ready to help and have made the overall impact investing process easier for us” Ms. Hui Hsing (Co-Founder of Blue7) “Through the IIX Impact Partners platform, I have been able to refine my pitch and present my impact enterprise in a manner that meets the impact investor’s expectations, allowing me to successfully introduce my impact enterprise to multiple global investors. Without the support of IIX Impact Partners, I wouldn’t have been able to make a such a large reach” Mr. Suhendra Setiyadi (CEO of PlasticPay) 7

  9. IIX Growth Fund Mobilizing Capital The IIX Growth Fund (IGF) is an early-stage equity (from IIX’s balance sheet) and debt fund (through partner support) that invests in impact enterprises in South and Southeast Asia, thereby facilitating social and environmental solutions. The innovative structure of the IGF is designed to provide patient capital to women-focused SMEs and support them through external shocks.Created in the aftermath of the Covid-19 pandemic, the IGF recognizes the potential of women to be solutions for economic relief, gradual recovery, and resilience building. With zero defaults or delays in interest or principal payments to date, the IGF offers stable returns with low risk. The Journey of an SME IGF inducts women-focused enterprises, channels funds to help them adapt to external shocks, and sets them back on the growth trajectory such that they survive, thrive, and eventually go on to maturity. IGF Portfolio IGF Equity Fund Patient equity investments in women-focused SMEs to finance their growth and enable them to reach their full impact potential IGF Loan Facility Working capital loans to women-focused SMEs through an innovative revolving structure that maximizes the impact of funding Target Geographies Focus Areas 8

  10. Women's Livelihood Bond Series Mobilizing Capital The Women's Livelihood Bonds™ (WLB) are the world’s first gender- lens social bonds compliant with the International Capital Markets Association, listed on a stock exchange (Singapore Exchange: SGX), and quoted on Bloomberg. WLB’s revolutionary financing structure connects local communities to the global market, unlocking capital and empowering women.The WLB Series has raised over US$128 million from global investors across 5 issuances. Each issuance has increased in size and channeled capital into diversified multi- continent, multi-sector portfolios that have yielded a zero-default rate and are creating positive impact for over 1 million women and their families. WLB Series Highlights • Five issuances • Raised over US$128 million • Zero default • Positively impacting over 1 million women The Journey of an SME The WLB Series helps mobilise private capital to support sustainable, women-focused SMEs by connecting them with global investors. Through the WLB Series, SMEs have access to private capital and a listing on SGX. The WLB Series enables SMEs to empower women through sustainable livelihoods while enhancing their reputation, credi- bility, and ability to attract future funding for On-time interest payments for WLB 1-4 even through COVID and full principal repayment at the end of the 4 year-tenure for WLB1 marked the successful creation and completion of the world’s first gender bond.In addition to strong financial performance, WLB met or exceeded all social performance targets, including targets for increased financial inclusion and financial resilience. The WLB Series has hence demonstrated IIX’s risk-return-impact framework and paved the way for gender lens impact investing. Hear from our clients: last-mile beneficieries “A loan of US$ 680 from a WLB portfolio company helped me purchase more materials and expand my store. Due to the loan, I now earn an additional US$ 170 per month, and I am also able to save 50% of my increased income. I want to use these savings for my child's education and ensure that my daughter graduates from college. This is my 11th loan from the portfolio company, and I plan to take more loans in the future to further grow my business.” Angela, a microfinance borrower in Indonesia “I have been supplying rice to a WLB portfolio company for 5 years. I am grateful for my stable income, and with access to training programs provided by the company on organic and sustainable rice farming, now I have increased my yield per harvest by 20%. By working here, I am also able to increase my income by receiving a larger value of premium, and I am finally financially resilient enough to sustain myself and my family.” Bopha, a farmer working in the sustainable agriculture sector in Cambodia I used the loan from a WLB portfolio company to expand my business and employ over 15 employees. My income has now increased by 25%, and I can finally pay the school fees for my three daughters. I can fulfil my dream of seeing my daughters graduate high school, and watch them grow to be successful in life. I have also taken a water and sanitation loan to build a latrine in our home. This saves me 2 hours a day on average, which I can use in focusing to further grow my business”. Isniwati, a small business owner in Indonesia 9

  11. WLB Series: Reach, Risk, Return, and Impact Distribution of WLB Borrowers and Investors WLB Series in Numbers * *Social Return is a measure of how much social and environmental impact (in US$) is created for every dollar invested Women’s Livelihood Bond 5, the world’s first Orange Bond, focused on building a gender-lens ecosystem. IIX partnered with ~20 firms, including banks, law firms, and public sector/donor agencies from across the world, united by the mission of building gender-equal, climate resilient, and sustainable financial markets. 10

  12. Women’s Catalyst Fund Mobilizing Capital The Women’s Catalyst Fund (WCF) is a blended finance fund designed to unlock private sector funding towards gender-lens financial instruments. By providing a layer of first-loss capital to women-focused structured finance instruments such as IIX’s WLB Series, the WCF effectively reduces the risk borne by private sector investors and catalyzes investor appetite for such instruments. To date, every US$ 1 invested by the WCF has mobilized ~US$ 9 of private sector investment towards gender bonds. The Journey of an SME WCF catalyzes the inflow of capital into investment-ready impact enterprises. The innovative mechanism of de- risking mitigates the perception of risk associated with SME investment for apprehensive investors. The WCF has been critical to the successful replication of the WLB Series, enabling the mobilization of private sector capital at scale. Since the inception of WCF in 2019, each WLB Series issuance supported by the WCF has been on average 70% larger than its preceding issuance. In 2022, WCF provided a US$ 5M subordinated loan to the WLB5, unlocking US$ 45M of private sector capital, for a total mobilization of US$ 50M towards the economic and social empowerment of women in underserved communities. Hear from our partners “IIX has pioneered a unique financial structure that effectively balances risk, returns, and impact. The DFC anticipates the WLB5 will revolutionize capital markets by placing women at the forefront of solutions to achieve a more inclusive, climate-resilient future for all.” James Polan, DFC Vice President for Development Credit. DFC is an investor in theWCF, which provided subordinated capital to WLB5. The WCF has received investment and support from government investment arms and Development Finance Institutions around the world. 11

  13. Research and Advisory Mainstreaming Impact IIX’s Research & Advisory (R&A) team offers in-depth research, advisory, and project leadership services. Through data-driven projects, R&A builds inclusive financial markets and accelerates financial inclusion. R&A publications equip ecosystem players with fresh insights and approaches for gender–and climate– lens investing. R&A also maintains localized data repositories and uses them to identify new ways of bringing women, the environment, and underserved communities into the financial system. A finger on the pulse of focus sectors and countries positions R&A well to trigger targeted action in collaboration with other verticals of IIX. Hence, R&A acts as IIX’s nervous system. The Journey of an SME R&A analyzes the entrepreneurial investment landscape and identifies impact enterprises with potential. SMEs are trained in collaboration with Impact Partners and IIX Institute so they can bridge knowledge and skill gaps on their journey to grow. R&A also plays an influential role in facilitating the growth of SMEs through ecosystem building at the country level (see: Bringing it all together for Vietnam). R&A’s rich archive of knowledge and insights places IIX in a unique position to advise governments, development agencies, investors, and enterprises alike. R&A has a repository of 70+ reports concretizing the innovative finance infrastructure across 20+ countries in the Global South. In 2022, R&A worked on a three-part series Making Finance Work for the 99%, taking a bottom-up approach to emphasize the strong business case for investing in women. Drawing on IIX’s extensive experience in unlocking impact capital, the series unpacks the benefits of listening to the voices of global communities and the value ofleveraging market solutions to make finance more accessible. Finally, it offers pathways to create sustainable value chains that work for everyone. The primers will be publicly available in 2023. Hear from our clients: Impact SMEs IIX’s support maximized access and traction from investors who we wouldn’t have been able to tap otherwise. Manish Nathani, Co-founder and Director of Strategy and Operations, Meraki Agro IIX makes the due-diligence process with our partners easier. Slamet Riyadi, Founder and Head, KOMIDA 12

  14. IIX Institute Mainstreaming Impact IIX Institute is the premier, go-to training center for sustainability. Deep inequalities in education, opportunity, and finance exclude large groups of people from achieving basic livelihoods. Drawing on our 13 years of success in the impact finance space, IIX is on a mission to share our knowledge —to empower everyone with the skills, tools, and knowledge needed to bridge gaps in opportunity and access. In this way, we are tackling inequality and injustice at the root to build a more inclusive world from the ground-up The Journey of an SME IIX Institute works closely with Impact Partners and Research & Advisory to support SMEs in upskilling and filling knowledge gaps as they move along their growth journey. At the IIX Institute, we want everyone to become a pioneer of change. We offer customized learning experiences through online courses, live webinars, and in-person training on sustainability, impact investing, sustainable finance, impact measurement, and impact leadership. Our offerings cater to a wide range of customers, from businesses to professionals, and novices in the impact space. Industry practitioners teach our online courses, designed to drive impact across the Sustainable Development Goals (SDGs). Learning at the IIX Impact Institute may be through: Our most popular programs 1. Mobilizing Finance for the SDGs 2. Measuring Impact for Sustainability 3. The Defiant Optimist Series Online Courses Immersion’s Programs A range of short courses and masterclasses with thematic focuses ranging from impact assessment to innovative finance taught by leading practitioners and industry experts. An in-depth blended learning experience exposing participants to practical insights from the field. Applications currently open for Impact Leaders – 2023 Knowledge Sharing Customized Training The Institute collaborates with cross-sector partners to lead year-round industry events including Impact Chats, Webinars, global Impact Forums, and more. Customized training programs for organizations across sectors to equip their teams with a toolkit of knowledge and skills to drive impact. 13

  15. IIX Values Mainstreaming Impact Deep Impact + Low Risk IIX Values™, our proprietary digital impact measurement platform, measures the social and environmental impact of an enterprise and generates a comprehensive report that enterprises can use to demonstrate their impact or ESG performance. Our assessment methodology, metrics, and scoring system incorporate various international standards such as the UN SDGs, the IRIS+ system, Impact Management Project criteria, IFC Standards, 2X, and the SDG Impact Standards. This enables communicate the alignment of their impact externally, using reputable indicators which matter to key stakeholders. While many solution providers in the impact and ESG performance measurement market are cost prohibitive and hence inaccessible for SMEs, especially in the Global South, IIX Values is designed to address the needs of exactly this demographic. In this era of greenwashing and exploitative economic growth, verifiable data-driven impact measurement is the need of the hour. IIX Values’ data-driven Risk-Return-Impact (RRI) approach to valuing and verifying the true natural and social impact of enterprises has aided the Impact Partners due diligence process and yielded a 0% default rate for the WLB series —an impressive feat for any debt instrument at this scale, whether impact- driven or not. enterprises to effectively The Journey of an SME IIX Values enables SMEs to map their impact performance to metrics that are recognized and used by investors for impact benchmarking. SMEs can hence leverage their impact to raise capital. Values also holistically captures primary, secondary, and tertiary outcomes of SMEs on customers and communities till the last mile.Values is designed to support organizations in communicating with investors and raise capital, as well as manage impact, and thus has an explicit action-oriented focus. IIX Values gives early- and growth-stage companies an overall Impact score (calculated as the average of risk mitigation and impact performance scores). SMEs in later stages receive an ESG+ score. Please refer to the appendix for our scoring mechanism and the IIX Values interface. The in-depth IIX Values Impact Assessment can be verified by gathering stakeholder feedback and input from last mile beneficiaries. Values also maintains a comprehensive database that can be tailored for use in due diligence, analytics, and impact benchmarking processes across enterprises, sectors, and countries. Underpinning IIX Values™ is the IIX Sustainability Pyramid (appendix), the core of IIX’s operating ethos. We have assessed IIX’s impact as an organization through IIX Values. Our Impact Assessment has been independently verified and is included in the appendix of this report for your perusal. 14

  16. IIX Foundation The IIX Foundation, a registered charity in Singapore and 501c3 in USA, is dedicated to supporting women across all stages of their empowerment journey as they transform themselves and their livelihoods while creating a gender equal world for the next generation. IIX and the IIX Foundation are legally independent sister entities that share one vision: to push the limits of financial markets until a more inclusive, equitable, and environmentally sustainable system exists. In light of this vision, the IIX Foundation extended grants to the following impactful projects in 2022: Teaching women digital literacy skills to increase their employability and encourage entrepreneurship Surovi | Bangladesh Surovi is a child rights and wellbeing organization impacting 25,000 women and children in Bangladesh. With IIX Foundation’s support, Surovi is enabled to provide computer literacy training to 120 women from low-income communities, empowering them with skills for employment and entrepreneurship. The training will cover key skills such as basic knowledge of computers and operating systems, typing, word processing, using spreadsheets, and PowerPoint. Celebrating the value of women through art SHE IS MORE is IIX Foundation's annual fundraising campaign that aims to celebrate the value of women through art and raise funds to improve their livelihoods. Young artists are given a platform to share their voices through personal pieces of visual art that celebrate the value of inclusivity through a global youth art competition. SHE IS MORE 2022 —themed Resilience —pays homage to the women who are standing tall in a society with great gender disparities. IMPACT 100% of the proceeds raised from SHE IS MORE go towards helping women in the slums of Dhaka access computers and digital literacy training. Providing support to those affected by rare medical disorders to ensure physically healthy families Diya & Aliya’s Friends (DAF) Fund | USA The Diya & Aliya's Friends (DAF) Fund helps alleviate some of the financial burden faced by families with children affected with ichthyosis, a rare and incurable genetic disorder. Eight families received financial assistance from the Foundation to access medical necessities for maintenance such as lotions, medicine, and treatment. Enhancing marginalized women’s respect, dignity, and representation through mental health support Project X | Singapore Project X is a non-profit organization with the mission to eradicate violence, exploitation, and stigma within the Singapore sex industry by providing social, emotional, and health services. The IIX Foundation enabled the provision of mental health treatment to marginalized women in this community by supporting Project X’s Art Therapy for Sex Workers Program in their delivery of 30 individual and group art psychotherapy sessions. 250 art submissions 23 countries 100 donors 15

  17. 2 | Grow IIX in 2022 16

  18. 2022 HIGHLIGHTS* WLB Series Impact Partners IIX Growth Fund Zero default on interest or principal payments WLB 5 - US$ 50 million impacting ~300,000 women Creation of a new asset class - The Orange Bond US$ 128 mn of private capital unlocked across 5 instalments 25 portfolio companies across 7 countries ~1,000,000 women and girls impacted Zero default across all bonds 450+ new Impact enterprises registered 1.2x multiplier effect enabled by its innovative revolving structure 100+ new Impact investors onboarded 100,000women empowered as solutions to economic recovery and climate action US$ 20 million of impact capital unlocked Footprint across 35+ countries 7x additional capital raised from private investors for portfolio Research and Advisory IIX Institute Women’s Catalyst Fund 9000+ students 63+ engagements across sectors in 53 countries Added 8 new courses, bringing total available to 25 courses ~US$ 15 million in assets under management 1 deep dive 5-year impact invest- ment market creation project in Vietnam Improved UX on online portal and launchedSDG Footprint tool to orient student learning around the UN Sustainable Development Goals US$ 96 million in private sector funding unlocked 19+ strategy and advisory reports driving private sector growth ~9x leverage effect 15+ innovative finance feasibility and mapping studies 50+ countries IIX Values IIX Foundation IIX People She Is More Art Competition Engagement: Received 230 artwork submissions from 32 countries IIX team across 12 countries Culture Amp for active employee engagement +850 users across 46 countries 541 impact assessments completed Funds Raised in 2022: USD$32,000 Rolled out online payroll and leave system Impacted 5,000 women in Bangladesh, Singapore, and Uganda through training and therapy and reinstating them back in the society +45,500 data points 7 onsite staff visits +2,300 voices heard Published IIX's impact and staff assessment report * highlights are a combination of IIX 2022 and cumulative performance 17

  19. Overview: IIX Ecosystem Mobilizing Capital Impact Partners IIX Growth Fund • The world’s largest private placement platform for impact investing, raising a combination of debt and equity for high- impact enterprises. • An early-stage and debt fund that invests in impact enterprises, providing patient • Capital to women-focused SMEs and supporting them through external shocks. • With zero defaults or delays in interest or principal payments to date, the IGF offers stable returns with low risk. • Connects across 18 countries representing over US$12 billion in AUM to 450+ impact enterprises. 1200+ investors operating Women’s Catalyst Fund Women’s Livelihood Bond Series • A blended finance fund designed to unlock private sector funding towards gender-lens financial instruments by providing a layer of first-loss capital. • Every US$ 1 invested by the WCF has mobilized ~US$ 9 of private sector investment towards gender bonds to date. • The world’s first gender lens social bonds compliant with the International Capital Markets Association, listed on a stock exchange, and quoted on Bloomberg. • Raised US$128 million across 5 issuances and yielded a zero-default rate while creating positive impact for over 1 million. Mainstreaming Impact Research and Advisory IIX Institute • Equips ecosystem players with fresh insights for gender and climate- lens investing. • Uses localized data repositories to identify new ways to communities into the financial system. • Triggers targeted action and runs projects in collaboration with other verticals of IIX. • The premier, go-to training center for sustainability. Offers customized learning experiences through online courses, live webinars, and in-person training. • Caters to a wide range of customers, from businesses to professionals, and novices in the impact space. bring underserved IIX Values • A proprietary digital impact measurement and reporting platform that enables enterprises to demonstrate impact and raise capital. Captures and verifies business outcomes on customers and communities till the last mile. • Maintains a comprehensive database that can be used for due diligence, analytics, and benchmarking. 18

  20. Bringing it all together for Vietnam A case study of IIX catalyzing impact investing growth at the country level IIRV Objectives The Impact Investment Readiness Vietnam (IIRV) Project, commissioned by Global Affairs Canada (GAC) and implemented by IIX, commenced in 2022. The 5-year project focuses on streamlining the development of Vietnam’s impact investment landscape with the objective of creating sustainable livelihoods and improving the economic well–being of vulnerable groups in Vietnam, specifically women and individuals in disadvantaged regions. IIRV adopts an ecosystem approach customized for the Vietnamese context, collaborating with market participants on all sides. IIX leverages our experience in the development of inclusive economies to design and implement this project. To support IIRV,we augmented our presence in Vietnam and formed a dedicated Vietnam Team. • Increase investment readiness of 200 grassroots impact enterprises. • Educate 20investors and 20 ecosystem enablers to support ecosystem growth and catalyze impact investments. • Created a national database of 1,978 impact enterprises, 90 impact investors, and 105 ecosystem enablers. As Phase 1 of IIRV, IIX R&Astudied the Vietnamese economy, leveraged our extensive data repository to create a comprehensive map of ecosystem stakeholders, and analyzed the data collected to evaluate the economics of impact capital. The analysis revealed challenges on the demand-side of capital in terms of capacity building, access, skill gaps, and investment readiness, and supply- side players in access to investment ready enterprises. Our key findings were summed up in a market research paper that will soon be available in the public domain (Q1 2023). IIRV Market Participants • Demanding capital: enterprises • Supplying capital: investors • Enabling the market: public sector, private sector, DFIs By shifting the balance of traditional MSMEs towards impact and impact-focused businesses towards profit, IIRV seeks to create a middle ground where sustainable businesses can thrive—environmentally, socially, and financially. IIRV will bridge knowledge and skill gaps through business/financial literacy training, acceleration programs, and technical assistance with the support of the IIX Institute and Impact Partners. Impact Partners will additionally unlock capital for enterprises to scale their businesses and introduce new channels of financing to Vietnam's impact investing market. In addition, IIX Values helps enterprises leverage impact and builds a steady pipeline of verified impact enterprises for investors. On the investor side, IIX has opened a window for relationship-building, engagement, and incorporating supply side feedback into ecosystem growth by bringing private sector players to the table (during IIX moderated roundtables in October 2022). IIRV suggests frameworks and policy reform that would simplify domestic and foreign private capital inflow into Vietnamese SIBs. IIRV strongly focuses on the concept of gender lens investing, linked with SDG 5 - Gender Equality. Strengthening targeted sectors (agriculture, forestry, and clean energy) and demographics (women, economically disadvantaged) holistically plays into Vietnam’s national plan to achieve the UN SDGs. Strengthening targeted sectors agriculture, forestry, and clean energy 19

  21. IIX Showcase: Impact Stories Impact Partners (IP): Capital Raise for Kennemer Group Established in 2010, the Kennemer Group operates in the sustainable agriculture sector in the Philippines, providing financing for smallholder farmers. The company works with 19,000 farmers, has planted over 20 million trees, and has disbursed over US$ 6M to 1,000 farmers and agribusinesses. The group recently established a joint venture to manage programs that generate carbon credits and further, market those credits. IP assisted Kennemer Group in raising US$ 14 million in their latest fundraising round in August 2022. IP: Circularity in Indonesia’s waste value chain and Plastic Pay Over the course of their regular activities on-the-ground in Indonesia, IP identified harmful practices of the regional waste management industry. As proactive thought leaders, IP magnified their findings into an in-depth research report titled The Changing Dynamics of Indonesia’s Waste Management Sector. The report proposed introducing a circular value chain into Indonesia’s waste management sector as a solution. IP’s ecosystem-wide research led to the discovery of Plastic Pay. Plastic Pay is a waste management enterprise that leases plastic collection drop boxes to metropolitan areas around Indonesia in partnership with large corporations and retail brands. IP introduced the enterprise to potential funding partners, and over 40 investors. In addition, IP helped Plastic Pay connect with other local enterprises to expand its supply chain. In 2022, within a year of active involvement and technical assistance from IP, Plastic Pay’s revenue increased 9x to US$700,000 (from US $80,000 in 2021). Plastic Pay is expected to continue this growth trajectory to reach an expected revenue of US$3M by the end of 2023. IP Members with the PlasticPay team IIX Growth Fund (IGF): Emergency working capital financing to Fuchsia Shoes Fuchsia Shoes, a women-owned and women-led SME in Pakistan, manufactures handcrafted artisanal footwear by adapting Pakistani artisanal techniques to meet the modern needs of global consumers. Faced with the compounding challenges of climate change-induced extreme weather events and supply chain disruptions brought about by the COVID-19 pandemic, Fuchsia Shoes struggled to keep production afloat. The company approached the IIX Growth Fund for emergency support to cover working capital needs. With a US$ 200,000 loan from IGF, Fuchsia Shoes was able to maintain operations, improving the livelihoods of 72 artisans by providing them job security and increased income. Additionally, a portion of the proceeds was directed to annual skills training for women with the purpose of employing them later as highly skilled artisans. 20

  22. WLB Series: Empowering KOMIDA, empowering women KOMIDA is one of the largest microfinance institutions in Indonesia. With a client base of 100% women, KOMIDA’s mission is to provide financial assistance in the form of savings accounts and loans to its members, while extending non-financial assistance through health training, education support for customers’ children, and family financial management. KOMIDA received US$9 million through WLB2, WLB3, and WLB4 that has in turn directly benefited over 99,000 women and their families to-date. Women clients have reported a 20-30% increase in income every year, allowing them to increase their savings, invest in household development and children’s education, and further grow and expand their businesses. The majority of KOMIDA’s loan portfolio (~95%) comprises individual loans provided to micro-entrepreneurs for income-generating and productive activities. Other lending purposes include housing, sanitation, education, personal consumption, and agricultural loans. Research and Advisory (R&A): Blended finance promotion activity in Indonesia R&A conducted a detailed needs assessment of 17 impact enterprises in Indonesia and mapped a pathway for each SME to optimize financial sustainability, impact, and ability to scale. R&A facilitated the project across three phases and published a project report upon completion. IP, IIX Values, and WLB supplemented the process with technical assistance, impact measurement and verification, and capital raise support. The program supported 7 high-impact enterprises in mobilizing US$9.7 million and impacting the lives of ~250,000 women. This case study validates the criticality of an SME’s awareness of their own impact and ability to communicate the same to potential investors in unlocking higher gains across the value chain. IIX ValuesTM: ATEC’s Impact Performance, validated by last-mile beneficiaries ATEC is the creator and marketer of two patented Pay-As-You-Go (PAYGO) solutions that provide affordable, accessible, and sustainable clean cooking solutions for low-income households in Cambodia and Bangladesh. ATEC aims to build a world with access to abundant energy and food by providing bio-digesters to farmers. IIX Values enabled the ATEC team to map their impact performance to SDGs 1, 5, 7, and 12 and effectively quantified the impact micro-indicators that have been successfully met. Furthermore, ATEC verified their impact by using IIX ValuesTM to gather customer feedback from 100 customers at the last-mile. 81% of them validated that the product contributes positively to their communities and 59% of them claimed they were satisfied with ATEC’s product, leading to an overall verification score of 3.5 out of 5 for ATEC’s impact. 21

  23. The Orange Bond Initiative The Orange Bond Initiative On a mission to unlock US$10 billion by 2030 and empower ~100 million women and girls worldwide. The Orange Bond Initiative™(OBI) is a movement for a gender-equal future that aims to catalyze gender- lens investing from strategy to action. By setting transparent standards for gender bonds and issuing transactions for a gender-equal financial system, the Initiative is developing a market for Orange Bonds, with orange being the color of SDG 5: Gender Equality, as a new asset class. IIX, along with the below multi-stakeholder Steering Committee, has utilized their expertise to create an Initiative by and for the Global South. The Steering Committee drives gender equality through their individual work in the public sector, private sector, and civil society. WLB5: The World’s First Orange Bond In 2022, IIX issued the world’s first Orange Bond, the US$50 million fifth instalment in the Women’s Livelihood Bond™ (WLB™) Series, the WLB5. The WLB5 is a multi-continent, multi-sector bond that aims to positively impact 280,000-300,000 women and girls across Asia and Africa. Through close partnerships with 3 banks, 6 law firms, and 3 Development Finance Institutions, IIX orchestrated the highest capital raise of the WLB™ Series to date in trying macroeconomy. The Orange Principles 2022 also witnessed the publication of the Orange Bond PrinciplesTM. The Principles enable issuers of all gender bonds to commit to truly impactful and transparent transactions. By requiring all issuers to measure, report, and verify impact with women at the last mile, the Principles value the voices of the receivers of capital and thus, proactively addressing the widespread impact washing in the sustainable finance ecosystem. Principle 1 Gender-positive capital allocation Principle 2 Gender-lens capacity and diversity in leadership Principle 3 Transparency in the investment process and reporting Hear from our Ecosystem Partners “As the first Orange Bond in the market, the WLB5 will set the momentum for many Orange Bond transactions to come in the near future, making it a game changer for the sustainable financing market. IIX’s commitment to achieving meaningful impact and verifying results directly with women at the last mile makes the WLBTM Series the ‘gold standard’ in a market that is facing concerns over rising impact-washing.” Stephen M. Liberatore, Nuveen, Head of ESG/Impact - Fixed Income 22

  24. 3 | Arise IIX in 2023 23

  25. Leveraging Technology 2022 saw IIX improve upon interconnectivity between our technology-enabled products to provide a seamless user experience for SMEs and investors alike, allowing them to focus on core competencies. The resultant nexus between platforms allows us to pool data for analysis and visualization, providing additional value to our clients and users. We also commenced the long-term process of migrating our various online platforms and databases in-house, as we remain committed to this technology-oriented development direction. Leveraging enhanced technological capabilities through the year, we were able to effectively forge ahead on our mission to democratize capital flows and maximize true impact at scale. Used together, our tech platforms holistically support SMEs on their capital raise journeys. Through our tech offerings, IIX is: Going online to connect communities with capital. With Impact Partners (IP 3.0) platform, accredited investors can connect with registered enterprises that have undergone thorough due diligence evaluations, risk, and impact assessments, ultimately ensuring capital flow toward high impact ventures. Through IP 3.0, IIX has gathered thousands of unique financial and macro- impact data points from both impact enterprises and investors, tying in related micro-impact data from the vast IIX Values database to provide effective deal matchmaking services as well as analytical support to all stakeholders. Scaling affordable impact measurement and verification with digital tools IIX Values serves as a technology-backed, cost-effective, and time efficient solution for enterprises globally. Equipped by the IIX Institute with an effective understanding of impact measurement and reporting, impact enterprises can take the important next steps of assessing their impact internally, and verifying it externally. It is this unique, tech-enabled reach to the last-mile that affords IIX the largest impact data repository for the region. Building an enabling impact ecosystem through remote learning An affordable and accessible impact education comes as an integral part of any stakeholder’s journey in the space. The IIX Impact Institute offers a diverse suite of online courses to a vast global audience —providing remote education with digital certifications to all. The Institute’s online platform hosts a valuable knowledge base that can be leveraged for a wider range of actors, from enterprises looking for impact capital to investors seeking a better understanding of impact data. Given the rapidly evolving nature of technology and escalating nature of systemic shocks, we are conscious of the need to accommodate the increasingly complex asks of the impact industry by continually improving our technological capabilities. In 2023, we are streamlining ongoing efforts and developing an impact-tech arm consisting of a modular technological platform. This desired future state allows us to leverage innovation and technology, enhance the availability and accessibility of impact data, and advance transparent impact finance to solve current global crises. 24

  26. LOOKING AHEAD ARISE At IIX, we are continuously innovating and improving to maximize real, measurable impact on-the- ground. 2022 was our biggest year so far, and carrying the momentum into 2023, IIX is set to ARISE— Actualize Real Impact for Sustainable Equity—moving closer to our vision of building a truly inclusive global financial system. In line with this theme, our strategic approach for the year is: Strengthening our environmental commitments to realize intersectional sustainability As a leading force in the social impact space, we will drive the uptake of an intersectional and holistic conceptualization of sustainability, with a greater focus on gender, where the deep entanglements between our people and our planet are accounted for. A priority action will be the greater incorporation of environmental considerations into our offerings. IIX will contribute to thought leadership on the subject through research and enhance the climate-based dimensions of our impact measurement methodology on IIX Values. Synergistically, this will be in line with our own internal sustainability journey. Expanding and deepening our reach to curate targeted impact 2023 will see IIX gain ground in new regions in Africa, Asia, and Latin America through strategic partnerships. We will take the next step in sharing our expertise built over a decade of creating deep impact across geographies in the Global South and demonstrating proof-of-concept at the country-level. In parallel, we will deepen the impact of our work in the geographies where we are already established through targeted products drawing on our country knowledge. We will also expand the financing options available to impact businesses via IGF to include short- and medium-term ‘orange’ working capital loans. We encourage the active buy-in of potential partners from across the impact ecosystem. Running collaborative projects to leverage cross-platform synergies Past and ongoing cross-platform collaborations such as the GAC-Vietnam Project at the country level and successful journeys of SMEs from seed to maturity have demonstrated that the different departments of IIX come together to succinctly meet the needs of various stakeholders. Collectively used, IIX Values, IIX Impact Partners, and IIX Institute can empower enterprises by holistically. As IIX looks to the future, workstreams will be directed toward driving joint ventures between our departments. Aggregating data to enhance ecosystem growth With our unique ecosystem, IIX functions as a powerful, one-stop, data-driven solution that brings together the best of the impact investing ecosystem. We are in a keystone position to enable optimal capital mobilization for maximum impact. IIX will continue to aggregate technology, leverage our expansive data lake, and synergize our multi-platform capabilities to build opportunities, tools, and accessibility to data in the sustainability space. In 2023, IIX will ARISE to maximize our impact by maximizing our potential. And the underserved communities we serve will arise with us. 25

  27. Sustainability Roadmap IIX’s Impact Scores over the years IIX Impact Performance Score: A score of 9.9 denotes an impact enterprise creating maximum social and environmental impact, with slight scope for improvement. Key factors of improvement 2021-22 The proportion of women among IIX’s direct beneficiaries has increased from 50-69% in 2021 to 70 -89% in 2022. With the expansion to new sectors, e.g. WASH and Sustainable Mobility –through the WLB Series and Impact Partners –IIX was able to facilitate greater environmental impact in the areas of air pollution management, biodiversity conservation on land and under water. IIX Risk Mitigation Score: A score of 10 implies that the organization’s operations effectively reduce exposure to harm and increase coping capacity among communities on-the- ground. IIX ESG+ Performance IIX Overall ESG Score: 8.5 Detailed score breakdown: IIX has all policies and provisions that are considered key according to the IFC Performance Standards, such as Sustainability Policy, Code of Conduct, Anti- Corruption Policy, etc. • IIX also maintains an organizational structure that defines roles, responsibilities and authority to implement the Environmental and Social Management System. IIX’s relative strength is in our social impact expertise, reflected in our near perfect Overall Impact Score. In 2023, we intend to unequivocally exponentiate our core commitment to impact with decisive environmental action and strengthen the Environmental pillar of our internal ESG+ score—while enhancing our ecosystem of products in tandem. We will be working toward the fulfilment of the following internal sustainability roadmap: Estimating IIX’s environmental footprint vis-à-vis the following indicators: • Carbon emissions –Scope 1, 2, 3 • Energy and water use • Waste management Mapping trajectories for reduction of IIX’s environmental footprint with the outlook that meaningful environmental impact will be an ongoing and iterative process Overall improvement to IIX’s ESG+ scoring through the implementation of a successful, holistic sustainability strategy Detailed review and revision of IIX’s existing ESG-relevant policies Identifying appropriate initiatives to raise employee awareness on incorporating sustainability into their daily work life Providing opportunities for IIX employees to extend and deepen their ESG knowledge and expertise holistically with the knowledge that this will enhance IIX’s propensity to create impact 26

  28. Impact Investing Tomorrow An IIX Perspective The impact investment market is steadily increasing its geographic footprint, with many social enterprises housed in developing regions of Africa and Latin America receiving capital from a range of investors. Africa, now with a vibrant investment climate, has seen successful growth from the continent’s healthcare and renewable energy sectors. Additionally, there has been a sharp advancement in the African FinTech landscape, with the promotion of financial inclusion garnering significant activity from investors. The digital and technology sector is expected to continue growing exponentially, alongside an increase in venture capital activity. In Latin America as well, impact investment is on the rise, quoting a growth figure of more than tenfold within a decade, with a primary focus on agriculture and microfinance. Globally, the potential of technology and impact investment is keenly waiting to be actualized. Organizational representation and impact AUM by headquarters location in the Global South Organizational representation and impact AUM by headquarters location N=1013 Source: The GIIN 2022 Market Sizing Report As the impact market grows and intensifies, it becomes necessary to develop conceptual clarity within financial markets and understand the impact space holistically, including the deterrents on the demand and supply sides. Paramount challenges that discourage potential participants include the lack of concrete data, trends, and measurements, regulatory support, and standardized reporting. These challenges originate in part from the nascent nature of the market, and in part from the overwhelming pressure to greenwash and continue with business-as-usual. The lack of awareness regarding untapped financial potential of the space also deters potential entrants. Another perspective is the overrepresentation of the supply side, which weighs decisions in favor of investors’ experiences. An equitable approach that also considers entrepreneurs’ needs will help businesses deliver results, diminishing demand-supply gaps. It is thus imperative to actively address demand-side challenges that impact enterprises face in order to harbor a meaningful flow of capital. The growing demand for sustainable, impactful private investments is evident and private capital continues to be mainstreamed as a critical source of financing for social and environmental initiatives. However, to meet this demand, society needs to establish and accommodate sustainable institutions, bring the perspective of the 99% into solutions, meaningfully measure the size and implications of impact, and collaboratively create new channels to connect investors with projects in need of funding. 27

  29. 4 | Acknowledge Behind IIX’s Impact 28

  30. People of IIX 2022 was a defining year for us in terms of human resources mobilization and strategic growth. A case study of our own impact-driven investment thesis, IIX witnessed steady organizational growth despite a year of lay-offs and difficult economy for the global job market. In 2022, we expanded across 10 countries and grew 57% in number. In addition to 54 employees, our family of IIXers also includes 24 consultants, whose expertise was crucial for our success. As a young, motivated, women-led team from the Global South, we bring personal contexts to the inequity we are trying to eliminate. This positions us as strong advocates for underrepresented world stakeholders and is represented in our workforce demographics. Geographic Spread Gender Balance Singapore 33 Philippines 12India 6 Vietnam 6 Indonesia 4 Kenya 1 Bangladesh 2 Sri Lanka 2 Brunei 1 Malaysia 1 USA 1 Cambodia 1 Global Regional Diversity Language & Ethnic Diversity We can do what we do because of our incredible team, and we strive to recognize efforts through bonuses, benefits, increments, and promotions. The team’s efforts aligned with the management’s vision and drove IIX to achieve its FY2022 targets. Despite the tough business environment, IIX declared a 1-month company bonus for all confirmed employees and an additional performance-based bonus of up to 2.5 months. IIX’s dedication to protecting jobs and meeting our employees’ expectations, even during economic downturns, is a symbol of the company’s priorities. 29

  31. Employee Engagement At IIX, we are committed to equal opportunity and creating a safe, inclusive work environment. The innovative nature of our work hinges upon an open environment, creative thinking, and collaboration. We strive to nurture an involved community culture, variegate our talent pool, and facilitate in-person engagement. With the goal of optimizing our culturally and geographically diverse team, we conducted seven visits to the Singapore Headquarters for employees in 2022. This made it possible for teammates from different parts of the world to meet face-to-face and engage in enriching exchanges. Further, we reinitiated in-person social events to encourage stronger team dynamics and supported our remote staff in engaging co-working spaces in Vietnam, Indonesia, and Sri Lanka as COVID-19 policies were relaxed. IIX Team at Singapore FinTech Festival, November Company Onsite with Overseas Staff, August 2022 Company-wide call with IIX Staff and Consultants, December 2022 Professional and Personal Benefits The advancement of our business stems from the growth of our people, so the happiness, well-being, learning, and development of employees is a defining priority. In the interest of holistic support, we seek to uplift individual employees professionally and personally. A generous training allowance benefits our staff who are enthusiastic about pursuing their professional interests. While these learnings may enhance their professional development and career growth at IIX, they result in more driven and equipped employees, which translates into a stronger workforce. We also provide a flexible benefits allowance that can be used for healthcare, recreation, and pursuing personal interests. Courses IIXers enrolled in: CFA Level 2 & 3 ANDE Investment Manager Training Advanced Excel for Finance GrowthX for Entrepreneurs Mandarin language courses 30

  32. 2022 Employee Engagement Survey and Anonymous Internal Feedback Channel At IIX, we strive to build strong, sustainable employee-organization bridges. Engaging with real-time feedback helps us understand the expectations of our people, and how IIX can continue to grow at the collective and individual levels. We maintain two feedback channels, in addition to regular employee touchpoints with HR and managers, that equip us with insights on employee sentiment. IIX conducted an Employee Engagement Survey through Culture Amp In 2022. IIXers were encouraged to anonymously share their reflections, critical feedback, general impressions, and suggestions around themes of mental health, approach to sustainability, compensation structures, management styles, and streamlining of work processes. Moreover, IIXers shared whether their individual aspirations and personal goals are being met, if they see their role within IIX as long-term and sustainable. We are proud to share that we scored 79% — 5% and 8% over the 2022 APAC and Management Consulting (APAC) scores respectively. The survey was disseminated to all full-time employees, with a strong 91% response rate. positive neutral negative How we compare against: IIX Staff Response Rate 70% of Culture Amp customers have response rates between 75% and 90% An additional layer of IIX’s internal feedback channel is a portal that empowers employees to anonymously share comments and concerns on a monthly basis. This forum has spurred several employee-oriented actions, such as continued hybrid work post-COVID while other offices were going back to work in person. IIXers particularly appreciated our flexible benefits policy in times of rising inflation last year. We also have a supportive flexible work policy for new parents —we were delighted to welcome 5 babies to IIX’s extended family in 2022. Employee feedback from our anonymous portal “I appreciate how much of hands-on client experience I get from my work—with investors enterprises. I also see some of my colleagues getting exposure to high- level government and corporate officials. It is very inspiring and I look forward to learning more from such exposure." "I got exposed to a range of new sectors and regions which was interesting. The team spirit and the work environment is open and encouraging. Looking forward to what is in store for the future." "It is great to meet our overseas colleagues and the opportunity to meet more people face-to-face (as Singapore has opened up). Thank you for putting all this in motion." and It is a continuous undertaking for us to synthesize targeted organization-wide policies that incorporate feedback from these two channels, such as the organization of more semi-formal learning Sessions, team building activities, and internal training workshops to bridge skill and interest gaps of our employees. 31

  33. Our experience engaging with our colleagues in 2022 allowed us to look at ourselves through fresh eyes. By nature, an IIXer is Passionate, Resilient, Equitable, and a Maverick. The abbreviation, PREM, means love in Sanskrit, one of the ancient languages of the world. Connecting with our employees, it is heartening to see how many of us share IIX’s mission of climate action, gender equity, and community resilience. Our employee engagement agenda for 2023 is driven by this theme: recognizing every IIXer as Passionate, Resilient, and Equitable Mavericks striving for a better world. 2023 introduces a revamped version of our Beliefs Pyramid (Appendix), the northern star for our mission-oriented team, to include PREM. Looking to 2023, we are excited by the development pathways we have seen and for opportunities to continue to engage with fellow IIXers. What do we like about IIX? A word cloud of employee feedback Hear from our Passionate, Resilient, and Equitable Mavericks “It is rewarding to work at IIX knowing that our work is reaching and making a true difference to those who need it. Being able to collaborate with like-minded colleagues is equally inspiring, as is learning from more experienced mentors who are willing to give their time to teach and share knowledge.” Eliza Cheah, Research and Advisory - Brunei “It's amazing to be working on truly innovative products with a leadership team that unites all stakeholders across the globe in creating an equitable world. It's not everyday that one gets a chance to work with a company that spearheads the impact investing movement with some of the world’s firsts. The corresponding recognitions you get from people, great career path, and meaning to the outputs of the work at IIX are unparalleled.” Aditya Peri, Impact Partners, Hyderabad - India “I joined IIX just as the WLB5 was kicking off and got the opportunity to experience all the stages of the Orange Bond from sourcing and due diligence to the closing of the bond. The zeal and enthusiasm of the managementtowards gender and climate action is infectious and inspiring. It is enriching to witness the impact that innovative finance can make. While it is rewarding to be a part of an organization which empowers women and combats climate change, it is also a great learning opportunity to work with an energetic team and experienced management.” Raina Sanghai, Credit Team - Singapore “Working at IIX, every day is different and presents new challenges and opportunities. With the breadth and depth of work the teams carry out, you will always find yourself learning something new and developing new skills and experiences that enrich your career and personal development. Everyone genuinely shares a dedicated passion for our work and it is incredibly rewarding to work with the diverse team we have to achieve truly innovative impact.” George Stopczynski, Innovative Finance - Singapore “Being a remote employee, I really appreciate the efforts that management and HR took to ensure that we feel comfortable by seeking regular feedback and implementing required changes to accommodate our needs. IIX has provided me with a platform to learn, evolve, and constantly evaluate my progress. The culture is transparent and every employee, irrespective of their position, is given a chance to be heard. I feel fortunate to be part of an inclusive workplace where the focus is to work towards a bigger vision together.” Anjali Thorat, Portfolio Management Team, Mumbai - India 32

  34. IIX Partner Network IIX is proud to bring together ecosystem players from across industries and geographies to revolutionize the finance industry. Our partner network has supported our growth and impact over the years. In 2022, KOICA, US DFC, DFAT, GAC, Enterprise Singapore, and MAS played a significant role in our success. 33

  35. IIX Impact Committee In the spirit of transparency and accountability, our Impact Report has been reviewed by an independent external committee of industry leaders in corporate governance, economic development, finance, and human relations. Please read about our distinguished impact committee members below. Serge Devieux is currently Principal at WHATiF 88 LLC, where he provides socialimpact, corporate governance, due diligence, and advisory services. Prior to WHATiF88 LLC, Serge had worked at the IFC for more than 17 years where he was the Headof Business Origination with a focus on Africa, Co-Head of IFC Financial InstitutionsGroup Funds and the IFC Director for South Asia. Genevieve Godwin has over two decades of international experience in human resources across a diverse set of industries including technology, advertising and communications. As Chief People Officer at Propertyguru, Genevieve leads the human resource function for over 1600 employees across Singapore, Malaysia, Thailand, Indonesia, Vietnam and India. Radhika Phillip is a Partner at PA Consulting supporting clients on engagements intransactional change, workforce readiness for transformation and COVID-19, and culture and employee experience. She is an Organizational and Talent Strategy expertwith over twenty-five years of experience advising on the people aspects oftransactions (M&A, alliance, divestures) and organizational transformations. Mani Sabapathi is a senior investment executive who has overseen investments and risk across a number of asset classes. He spent over 25 years at Prudential, culminating his career as a senior portfolio manager for PGIM Fixed Income's Global Team. In 2008, Mani was named one of 3 finalists for “Investor of the Year” by Total Securitization magazine, a division of Institutional Investor. He served on the Board of Directors for the American Securitization Forum (ASF) from 2006 through 2011. Ms. Edna Wong is a media and marketing professional and is a former Senior Consultant at Informa Markets, where she served as publisher of their flagship publication for the jewelry trade and later helped launch Asia’s most prestigious awards event in the international jewelry and gemstone industry. Prior to Informa Markets, she held various business positions, including Management Consultant at Mitchell Madison Group in New York, Marketing Manager at American Express in Hong Kong, and Director of Business Development of a tech start-up. She started her career in advertising at D’ Arcy Masius Benton & Bowles in New York. Joseph Yurcik is the founder of Yurcik & Co. Previously, he was the COO & CFO atTheaterMania.com through its merger with AudienceView. Joe was a founding partnerof Groton Partners, a merchant bank; the Managing Director and Head of Transaction Execution at Wasserstein Perella; and a senior member of the TMT and Merger andAcquisition Groups at Lehman Brothers. 34

  36. Appendix 35

  37. 36

  38. 37

  39. 38

  40. IIX Values Scoring Values allocates points to certain positive answers, and every point reflects incremental positive impact. The Impact score weighs positive impact and the ESG+ score weighs compliance with ESG standards or sub-standards. Score 0 <——————————————————————> 10 Impact A traditional business that does not create any social and/ or environmental change An all-rounded impact enterprise creating maximum social and environmental impact Mission (20%), Practices (30%), and Outputs & Outcomes (50%) Impact Risk Mitigation Exposure to Harm (50%) and Coping Capacity (50%) Maximum risk mitigation: the organization is reducing exposure to harm and increasing coping capacity in most, if not all, aspects The organization’s operation does not contribute towards risk reduction Aligned with majority of ESG standards and criteria, has satisfactory ESG performance, incorporated the required ESG policies, activities, roles & responsibilities and risk management strategies to do good environmentally Unsatisfactory ESG performance, no ESG standards are incorporated and that the organization is not aligned to key ESG criteria ESG+ IIX Values—Data Analytics Platform Key Feature Innovative Data-Driven Analytics • 45,000+ data points (and growing) across impact and ESG • A holistic proprietary data set • Critical data on Gender, Climate, and Underserved • Country and sector level comparison • Portfolio-level comparison & bench-marking Risk-Impact Correlation Over Time • Organizational level Impact/Risk/ ESG scores • Time-series Risk-Impact profile of organizations Qualitative Context • Add customer stories to verify impact • Attribute impact to investment Flexible • Combines or Dis-aggregated Impact data metrics • Customizable visual tool 39

  41. IIX Sustainability Pyramid IIX’s Sustainability Pyramid is the framework that guides our thinking about how investments can ultimately create sustainable and scalable impact. The first step to creating impact is to acknowledge impact creation as part of the organization’s mission. After that, the business needs to be operationalized in a way that is financially viable and has the potential to grow. This allows the organization to achieve its specific micro-level social and/or environmental impact goals, which then catalyses broader macro-level impact for the community. The interconnectivity between financial viability and impact creation illustrates that decision making for investing in impact needs to be rigorous and thorough. This framework is the core of IIX’s operating ethos. Fundamental integration of impact creation in enterprise mission Execute on specific impact goals to catalyze macro-impact for the community Operationalize business for financial viability and growth IIX Beliefs Pyramid AS MAVERICKS WORKING TOWARD AN EQUITABLE WORLD WITH RESILIENCE AND PASSION ABOVE ALL IIX’s mission is to create an inclusive financial system where women, the environment and disadvantaged communities are valued and have a voice. Our vision is to connect the back streets to the Wall Streets of the world through innovative, equitable solutions, and impact over 500 million lives by 2030. 40

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