• Feedback (Noun)

    • in Evaluating

      The transmission of findings generated through the evaluation process to parties for whom it is relevant and useful so as to facilitate learning. This may involve the collection and dissemination of findings, conclusions, recommendations and lessons from experience.

    • in General

      Information about reactions to a product, a person’s performance of a task, etc., used as a basis for improvement.

    Practice & Source: (1) Evaluation: DAC/OECD Glossary of Key Terms in Evaluation and Results Based Management (2) Generic: Oxford Living Dictionaries
  • Financial first (or finance first)

    • in Finance

      Investors who prioritize the financial return objective over the social or environmental objectives of an investment. This group tends to include commercial investors seeking investments that offer market-rate returns and also yield social or environmental good. Also included in this group are investors that are required to uphold a fiduciary standard and are therefore unable to make investments that lack the potential to yield market rate returns.

    Practice & Source: (1) Finance/Impact investing: TriLinc Global Impact Investing Glossary
    COMMENTARY

    “Finance first” can also be used to describe a business or organization. Also see “impact first”.

  • Financial model

    • in Business

      Mathematical representation of key financial and operational relationships. Comprising of one or several sets of equations, it is used in analyzing how a business will react to different economic situations or events, and in estimating the outcome of financial decisions before committing any funds. A financial model generally includes cash flow projections, depreciation schedules, debt service, inventory levels, rate of inflation, etc. It may also quantify the financial impact of the firm’s policies, and of restrictions or covenants imposed by investors and/or lenders. A cash budget (whether computed by hand or with a spreadsheet program) is a basic financial model.

    Practice & Source: (1) Business/CSR: BusinessDictionary.com
  • Financial sustainability

    • in Social enterprising

      Financial sustainability for a social enterprise is the degree to which it collects sufficient revenues from the sale of its services to cover the full costs of its activities. For charities, it involves achieving adequate and reliable financial resources, normally through a mix of income types.

    Practice & Source: (1) Social enterprise: EVPA Venture Philanthropy Glossary
    COMMENTARY

    Some uses of “financial sustainability” for social enterprises do not limit revenues to just proceeds from sales, but also count predictable and secure grants and donations. Thus a broader definition is the ability to fund the future of a nonprofit or social enterprise, typically through a combination of earned income, charitable contributions and / or public sector subsidies.

  • Financial value

    • in Finance

      No clear, authoritative definition. See commentary.

    Practice & Source: (1) Finance/Impact investing:
    COMMENTARY

    “Financial value” is typically understood as the value of an asset expressed in monetary terms which can be converted into cash by selling the asset or through its generation of cash flows.

  • Finding(s)

    • in Evaluating

      Factual statements about a project or program which are based on empirical evidence. Findings include statements and visual representations of the data, but not interpretations, judgments or conclusions about what the findings mean or imply.

    Practice & Source: (1) Evaluation: USAID Glossary of Evaluation Terms
    COMMENTARY

    In law, a finding is the verdict or decision of a judge or jury rather than the reporting of objective facts in an evaluation or investigation.

  • First Loss Capital (FIRLO)

    • in Finance

      With first-loss capital, the investor would provide capital if the manager or hedge fund will contribute a fixed percentage of the total managed account, usually ranging from 10%-20% depending on the capital provider. The performance fee received by the hedge fund or manager is more than that of the usual industry standard. The caveat is that should the manager incur any losses, that money comes out of their capital and the investor’s remains intact. Thus the hedge fund managers are in the position to sustain first-loss. If they should suffer a big monthly loss, then they lose their own money quickly while the first-loss capital providers can withdraw their investment to protect their own interests.

    Practice & Source: (1) Finance/Impact investing: The Benefits of First-Loss (FIRLO) Capital, Old Greenwich Capital Partners
  • Fixed income

    • in Finance

      A type of investing or budgeting style for which real return rates or periodic income is received at regular intervals and at reasonably predictable levels. Fixed-income investors are typically retired individuals who rely on their investments to provide a regular, stable income stream. This demographic tends to invest heavily in fixed-income investments because of the reliable returns they offer.

    Practice & Source: (1) Finance/Impact investing: Investopedia
    COMMENTARY

    Investopedia also notes that “fixed-income security is an investment that provides a return in the form of fixed periodic payments and the eventual return of principal at maturity.”

  • For Benefit Organization

    • in Social enterprising

      No clear, authoritative definition. See commentary.

    Practice & Source: (1) Social enterprise:
    COMMENTARY

    A “For Benefit Organization” is defined by being for a “benefit” (e.g. to the world in general) rather than “for profit.” It can thus be a synonym for “social enterprise” or “social purpose organization”. Fourth Sector defines two characteristics of for benefit organizations: “pursuit of social and environmental aims and the use of business methods.”

  • Formative evaluation

    • in Evaluating

      Evaluation intended to improve performance, most often conducted during the implementation phase of projects or programs. Formative evaluations may also be conducted for other reasons such as compliance, legal requirements or as part of a larger evaluation initiative.

    Practice & Source: (1) Evaluation: DAC/OECD Glossary of Key Terms in Evaluation and Results Based Management
  • Fourth sector

    • in Social enterprising

      The “fourth sector” is an emerging sector of the economy which consists of “for-benefit” organizations that combine market-based approaches of the private sector with the social and environmental aims of the public and non-profit sectors.

    Practice & Source: (1) Social enterprise: Fourth Sector
  • Fund advisor

    • in Finance

      a) The person or company responsible for making investments on behalf of, and/or providing advice to, investors. b) In the context of the mutual fund business, an advisor, also known as an investment advisor, is an organization employed by an investment company to manage a particular fund’s portfolio. A fund’s advisor assigns a manager(s) to make the day-to-day decisions involved in the purchase and sale of a fund’s securities according to stated strategies and investment objectives.

    Practice & Source: (1) Finance/Impact investing: Investopedia
  • Fund manager

    • in Finance

      A fund manager is responsible for implementing a fund’s investing strategy and managing its portfolio trading activities. A fund can be managed by one person, by two people as co-managers, or by a team of three or more people. Fund managers are paid a fee for their work, which is a percentage of the fund’s average assets under management (AUM)

    Practice & Source: (1) Finance/Impact investing: Investopedia