Triodos Investment Management, which manages funds that invest in venture capital and social finance, has announced that it will act as co-investment manager alongside Women’s World Banking Asset Management for Isis Fund, an equity fund that aims to increase access to finance for women around the world. Isis Fund was launched by Women’s World Banking (WWB), a US-based nonprofit network of 39 microfinance institutions (MFIs), and is intended to make equity investments in MFIs that are members of the WWB network.
The first closing of the fund was completed with USD 30.2 million on January 20, 2012, and the target size of the fund is USD 60 million, to be achieved in a second closing by early 2013.
Investors in the fund are KfW Bankengruppe, a German development bank; Achmea, a Dutch insurance provider; Inter-American Development Bank, a US-based multi-lateral institution; FinnFund, a Finnish development finance company; Triple Jump, an investment manager based in the Netherlands; and Storebrand, a Norway-based financial services provider. The amounts invested by each firm have not been released.
By Charlotte Newman, Research Associate
About Triodos Investment Management
Triodos Investment Management manages funds that invest in financial sector development in developing countries, renewable energy finance and venture capital. Among these are four microfinance investment funds: the Hivos-Triodos Fund, the Triodos-Doen Foundation, the Triodos Fair Share Fund and Triodos Microfinance Fund. As of December 31, 2010, these four funds had USD 338 million in assets.
About Women’s World Banking
Women’s World Banking (WWB) is a nonprofit microfinance organization that was founded in 1976 and is based in the US state of New York. WWB provides technical and advisory services to its network of microfinance institutions (MFIs) in an effort to alleviate global poverty by expanding the economic assets, participation and power of poor people, especially women. As of November 2011, WWB had 39 member institutions serving about 26 million microentrepreneurs in 27 countries.
About KfW Bankengruppe
The KfW Bankengruppe (KfW Bank Group) is a German development bank whose objective is to support economic, social and ecological development worldwide. Owned by the Federal Republic and the Länder (federal states), it offers financial support in the areas of small and medium-sized enterprise, entrepreneurship, environmental protection, housing, infrastructure, education, finance, and development cooperation. In 2010, KfW Bankengruppe invested approximately USD 7.4 billion in the promotion of developing and transition countries.
About Inter-American Development Bank (IDB)
The Inter-American Development Bank (IDB) is a US-based multilateral finance institution that was established in 1959 and operates in Latin America and the Caribbean. IDB works with governments, companies and nongovernmental organizations (NGOs) to provide both loans and grants to support small and medium-sized enterprises (SMEs), health, education and other sectors. IDB also provides technical assistance and research in these areas. Its Board of Executives is elected by 48 member countries, 26 of which are located in Latin America and the Caribbean. As of 2010, IDB reported total assets of USD 87 billion. The IDB is headquartered in Washington, DC, with offices also in Japan, France and all 26 member countries in Latin America and the Caribbean.
Finnfund is a Finnish development finance company that provides long-term risk capital for profitable projects in developing countries that involve a Finnish interest. The company can co-invest in Finnish companies, finance ventures that use Finnish technology, cooperate with Finnish partners on a long-term basis, or participate in other projects that generate “major” environmental or social benefits. Finnfund promotes business activities indirectly by participating in the financial sector, especially in microfinance and infrastructure. In 2010 FinnFund reported total assets of USD 358 million and six active microfinance investments.
About Triple Jump
Triple Jump was founded in 2006 to support the expansion of microfinance institutions (MFIs) through the provision of capital and advisory services. Triple Jump was established by the NOTS Foundation, a Dutch development organization; Oxfam Novib, a Dutch organization for international cooperation and development; and ASN Bank, a “sustainability-driven” Dutch bank. Its shares are divided among these organizations and Triple Jump’s management team. Triple Jump is comprised of Triple Jump Fund Management (TJFM) and Triple Jump Advisory Services (TJAS). TJFM provides its clients with four investment options: hard and local currency loans, equity, guarantees and subordinated loans. TJAS is an independent foundation that provides consulting services and technical assistance to tier-3 and tier-4 MFIs. Triple Jump manages five microfinance investment funds, with total assets approximately equivalent to USD 300 million as of March 31, 2011. Its investments span 132 MFIs in 52 emerging markets in Latin America, Eastern Europe, Africa and Asia.
Storebrand is a Norwegian financial institution with operations in the Nordic countries of Denmark, Finland, Iceland, Norway and Sweden. Storebrand’s core products are life insurance, asset management, banking and property and casualty insurance. As of December 31, 2010, Storebrand reported total assets of NOK 390 billion (USD 66 billion).
Sources and Additional Resources:
Information provided to MicroCapital by Triodos Investment Management: “Press Release: Triodos Investment Management Co-Investment Manager for Isis Fund Launched by Women’s World Banking.”
MicroCapital.org story, February 7, 2012, “MICROCAPITAL BRIEF: Nederlandse Financierings-Maatschappijvoor Ontwikkelingslanden NV (FMO), Triodos Bank Launch Online ‘Responsible Finance’ Magazine,” http://www.microcapital.org/microcapital-brief-nederlandse-financierings-maatschappijvoor-ontwikkelingslanden-nv-fmo-triodos-bank-launch-online-responsible-finance-magazine/
MicroCapital.org story, October 15, 2011, “MICROCAPITAL BRIEF: Triodos Invests in Microfinance Institutions (MFIs) Advans Ghana, KixiCredito of Angola, TYM Fund of Vietnam, Belarusian Bank for Small Business,” http://www.microcapital.org/microcapital-brief-triodos-invests-in-microfinance-institutions-mfis-advans-ghana-kixicredito-of-angola-tym-fund-of-vietnam-belarusian-bank-for-small-business/
MicroCapital Universe Profile: Triodos Investment Management
MicroCapital Universe Profile: Women’s World Banking (WWB)
MicroCapital Universe Profile: KfW Bankengruppe
MicroCapital Universe Profile: Inter-American Development Bank (IDB)
MicroCapital Universe Profile: FinnFund
MicroCapital Universe Profile: Triple Jump
MicroCapital Universe Profile: Storebrand
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