I had the opportunity to hear Jacqueline Novogratz speak about her new book The Blue Sweater. You can hear her speak at The Aspen Institute here in a program called “Murder, Philanthropy, Blue Sweater.”
The book is the story of the events that led her to found The Acumen Fund, a philanthropic venture that invests in change instead of making grants and donations. The idea is to require results.
What makes this book stand out is that it was really written by its author. Many such books are written in a generic voice that show the influence of an editor or ghost writer, but The Blue Sweater is written in the voice of Jacqueline Novogratz. It is not the voice of a professional writer (though she is an excellent speaker) but it conveys honesty and emotion.
Another element that makes this book stand out is its honest description of failure. Novogratz had to make several mistakes before she founded the Acumen Fund, and these are described in detail.
Finally, there is the Rwandan genocide. Unlike most accounts that focus on the victims or focus on the policies, Novogratz knew people on both sides — a few of them — and describes the situation with empathy and without easy answers. She even knew one woman who was a vital key to ensuring that the genocide happened and has been sentenced to life imprisonment.
The Acumen Fund
She describes what she would like to change in the world of charitable giving with The Acumen Fund. It’s about holding grantees to high standards. “Investors in the Acumen Fund don’t get money back, they get change,” she likes to say.
Acumen Fund programs are designed to become self-sufficient and to no longer need the Fund.
The Fund got its start with the help of the Rockefeller Foundation, the Cisco Foundation, and from Novgratz’s brother Michael, who co-founded the Fortress Investment Group, a hedge fund that had an IPO in 2007, when he made Forbes’ billionaires list.
Projects vary widely: manufacturing mosquito nets in Africa, an ambulance service in Mumbai, drip irrigation for India.
The common thread is relying on local entrepreneurs to manage and grow a morally valuable business that can become profitable, self-sustaining, and provide a model for other countries that face the same problem.
Conclusion
This is a thought-provoking book. At the very least, listen to her speech.
Pip Coburn of Coburn Ventures recommended this book to me. Thanks, Pip!
Tags: philanthropy