Social Impact Bond
/ˈsoʊʃəl ɪmˈpækt bɒnd/
Definitions
- (n.) A financial instrument where private investors fund social programs and receive returns based on achieving agreed social outcomes, often involving government repayment.
The city issued a social impact bond to finance recidivism reduction programs with returns tied to prison release rates.
Forms
- social impact bond
- social impact bonds
Related terms
See also
Commentary
Social impact bonds blend legal, financial, and social policy elements, requiring clear contractual terms for outcome measurement and investor repayment.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.