Governance & Documents
The Impact-Linked Finance Fund (ILFF) is established as a Dutch foundation with a defined governance structure, designed to support Impact-Linked Fund Managers in the efficient and compliant deployment of Impact-Linked Funds. Its Board provides fiduciary oversight and authorizes the setup of program-specific governance bodies such as Thematic Investment Committees (TICs).
For more details on governance, please click on the tables below:
Guiding values for Impact-Linked Fund Managers
These values are drawn from the ILFF Investment Policy and are intended to guide Impact-Linked Fund Managers implementing Impact-Linked Funds under the ILFF’s platform.
(1) Effectiveness:
We strongly believe that the impact performance of an enterprise can be affected by the way in which it is financed. We apply the Design Principles for Impact-Linked Finance in order to ensure maximum additionality and promote the most effective use of funds and engage in further development of these principles and its broader application in the field.
(2) Transparency:
We apply highest transparency standards across the whole process from selection, structuring of financial transactions and outcomes to verification. We regularly share information and relevant indicators with the Advisory Board and the Investment Committee in order to get guidance and support.
(3) Verification:
The verification of impact will go beyond process validation of outcomes and include the contribution of the financing for the enterprise and the broader impact of its activities including unintended effects whenever possible and feasible.
(4) Innovation:
We believe in the idea of “better terms for better impact” and advocate for applying this approach across business, policy and finance. We are committed to contribute to the field by sharing lessons learned and good practice as well as providing support to other actors engaging in Impact-Linked Finance.
(5) Inclusiveness:
We actively seek input and feedback from our stakeholders, in particular beneficiaries and organizations supported by the Foundation.
Roles & responsibilities
The following diagram illustrates the overall governance ecosystem of the ILFF. The ILFF Board of Directors (BoD) is responsible for the overall operational management of the ILFF Foundation. While it does not directly manage individual funding windows or execute transactions, the BoD plays a central role in ensuring strategic and fiduciary oversight across the platform. It formally approves Impact-Linked Fund Managers based on operational capacity, sector expertise, and alignment with ILFF’s mission. For each thematic funding window, the BoD also appoints members of a Thematic Investment Committee (TIC) — often in consultation with relevant funders — which takes final investment decisions based on recommendations from the Impact-Linked Fund Manager. Impact-Linked Fund Managers are responsible for managing their assigned Impact-Linked Funds, including deal sourcing, due diligence, investment structuring and monitoring, in line with pre-approved investment guidelines.
Illustrative overview. See Investment Policy and Bylaws for full governance details.
Fund documents
These documents provide legal and strategic guidance for how ILFF operates as a foundation and back-end service platform. They outline the Foundation’s governance structure, investment delegation, and values that Impact-Linked Fund Managers adhere to.