Investors now see purpose as a KPI for resilience: Purpose-led companies can better navigate disruption and retain stakeholder confidence in uncertain times.
The investment world is evolving, and a new frontier is emerging — one that moves beyond environmental, social and governance (ESG) metrics to embrace purpose as the new “G” in ESG, and a core driver of long-term value. While ESG has helped bring critical issues to the surface, it has become clear that it’s not enough. Purpose is now stepping in to fill the gap — signaling a profound shift in how capital is allocated and how businesses are expected to operate.
At the forefront of this shift is the Canadian Purpose Economy Project — a national initiative accelerating the adoption of social purpose in business and finance. It is helping reimagine the role of capital in society, mobilizing leaders and shaping new standards that embed purpose at the heart of economic decision-making.
During a recent “Purpose Lens: Transforming Investment Practices in Canada” fireside chat — moderated by Millani CEO Milla Craig, a trusted voice in ESG investing, and hosted by Impact United Academy’s Richard Muller — one insight rang clear: Investors and companies are navigating an inflection point. ESG frameworks, though valuable, tend to be reactive — overly focused on risk mitigation and often disconnected from a company’s core strategy. Social purpose, by contrast, is proactive: It articulates the reason a company exists — beyond profit and aligns operations, products, services and governance — with a broader societal ambition.
Why purpose now?
