Goldman Sachs (B): Determining the Potential of Social Impact Bonds Case Solution
The company was checking out an SIB to money a growth for a premium early youth preschool course inside the Granite School District for Central Salt Lake, Utah. The growth would certainly empower more kids with early on preparation, reducing the requirement to get special education and also restorative services and conserving the district cash. Trainees are charged with assessing brand-new social financial investment instruments, methods to reduce threat, and the function of banks inside social impact.
Partnering along with Bloomberg Philanthropies, MDRC, the Vera Institute of Justice, and also the New York State Division of Modifications, Goldman chose to go in front using the social impact bond (SIB) job to minimize youth recidivism. In case there were lesser rates of recidivism beneath the system, the city would certainly not possess to pay back Goldman's loans; Goldman would certainly accept the danger.
PUBLICATION DATE: February 14, 2014
This is just an excerpt. This case is about FINANCE & ACCOUNTING