Dennis Price | ImpactAlpha
Magma Partner’s Nathan Lustig says most investments should be considered impact investments, if they’re creating jobs, training employees, and seeding the next generation of entrepreneurs
Earlier this week Magma Partners, a venture firm with offices in Los Angeles and Santiago, Chile, announced the close of its second, $15 million fund, to back early-stage fintech and blockchain companies in Latin America. Last year in a provocative ImpactAlpha post, Lustig wrote “supporting almost any forward-thinking, technology-based venture in Latin America is a form of impact investing.”
Is that impact? We reached out to Lustig and asked him to clarify his belief that almost any Latin America investments are impact investments. “Most investments in Latin America should be considered impact investments if they’re creating jobs, training employees, and seeding the next generation of entrepreneurs, while not creating an extractive business model,” Lustig told ImpactAlpha. Those are big “ifs,” but provide better context.