Goldman Sachs is launching a $250m “social impact” fund whose returns are linked to the success of projects such as affordable housing, pre-school education and how many young criminals commit new offences after leaving New York’s notorious Rikers Island prison…Morgan Stanley on Friday said it was establishing the Morgan Stanley Institute for Sustainable Investing, with the goal of attracting $10bn of client funds for projects intended to provide social benefits as well as financial returns…To burnish their own credentials in corporate social responsibility, investors have for years diverted some capital to portfolios of publicly quoted companies that claim to fulfil a social benefit. Such investing forms part of the Morgan Stanley initiative, although it also plans to invest in private equity funds that meet the guidelines and channel money to affordable housing. Goldman claims its fund will be the first that allows companies and wealthy individuals to invest directly in a portfolio of private projects…