This report first reviews the historical background of the emergence of social finance in Western societies，and presents different types of investment methods and financial instruments. Then，it sorted out the different policy measures，industry institutions，best practices，and typical tools（such as social impact bonds）in the UK and the US. At the same time，this report discusses the institutional infrastructure of social finance，including governmental infrastructure，industrial infrastructure，and intellectual infrastructure，as well as some challenges facing social finance. Finally，based on the review on development of social finance，this report provides three recommendations promoting the development of social finance in China.