BlueOrchard reports strong performance in the first half of 2019
- BlueOrchard Microfinance Fund (BOMF) exceeds USD 2 billion investment mark and delivers strong performance – world’s first and largest commercial impact fund dedicated to emerging and frontier markets
- BlueOrchard increased its outreach, providing access to financial and related services to an additional 2 million individuals with low-income in emerging and frontier markets in the last 12 months
- In excess of USD 1,3 billion in more than 180 institutions across over 45 countries in emerging and frontier markets invested in the last 12 months
Zurich, 11 July 2019 – Impact investment manager BlueOrchard Finance Ltd (“BlueOrchard”) reports strong performance and growth across all its strategies and products, building on a strong investment pipeline and expanding investor base. The firm has achieved substantial milestones, positioning BlueOrchard on a sustained growth path as the leading impact investment manager.
In the first half year of 2019, BlueOrchard further strengthened its position as the world’s largest asset manager in the field of microfinance, delivering a stable and strong financial performance with strategies and products addressing the UN Sustainable Development Goals (SDGs). BlueOrchard’s flagship fund, the BlueOrchard Microfinance Fund (BOMF), has delivered a strong social and financial performance and exceeded the USD 2 billion investment mark in June 2019. With a 20 year track record, the fund is the world’s first, and today, largest commercial impact fund dedicated to emerging and frontier markets. Its scale has shown a positive effect on the funds’ performance. As of 30 June 2019, more than 24 million micro-entrepreneurs have been reached by microfinance institutions funded by BOMF, enabling them to create and grow income-generating activities and to break out of poverty. 52% of the micro-entrepreneurs reached are female clients and 47% come from rural areas. BOMF addresses with its investments 11 SDGs.
In addition, the BlueOrchard Emerging Markets SDG Impact Bond Fund raised over USD 300 million since fundraising started in December 2018, reflecting investors’ demand for investment vehicles that combine financial returns and impact with liquidity. Moreover, the BlueOrchard managed InsuResilience Investment Fund acquired a stake in Agritask, a leading provider of data driven technology solutions to smallholder farmers in emerging markets. Through its global activities, the company is expected to reach out to more than 25 million farmers by 2025. BlueOrchard was furthermore among the first signatories to the Operating Principles for Impact Management – a market standard for impact investing initiated by the International Finance Corporation, a member of the World Bank Group. Through its CIO, Maria Teresa Zappia, BlueOrchard will also be represented in the Advisory Board, which will provide advice on the implementation and evolution of the Principles.
In the second half of 2019, BlueOrchard will continue along this path, focusing on addressing the funding gap for green infrastructure projects at a sub-national level across African countries and further developing access to climate insurance products for those most vulnerable to climate events around the world.
“We are excited and proud to see our flagship fund attracting strong client demand, delivering a consistent and strong performance and reaching millions of micro-entrepreneurs in emerging and frontier markets. The fund has proven a tremendous scalability to substantially contribute to achieving the Sustainable Development Goals. The increased demand for impact investments across investor types and geographies demonstrates that impact investing has become a mainstream investment strategy. We look forward to continue providing our investors with attractive impact investing solutions”, said Patrick Scheurle, CEO of BlueOrchard.
“Our results in the first half of 2019 reflect the progress in empowering people across urban and rural populations in the emerging world to grow out of poverty and to withstand the effects of climate change. We are delighted about the high reputation we have earned, enabling us to attract net inflows from renowned institutions. We are confident that the next half year will lead to similar results, enabling us to deliver on our mission to include the excluded,” said Peter A. Fanconi, BlueOrchard’s Chairman of the Board.
About BlueOrchard Finance Ltd
BlueOrchard is a leading global impact investment manager. The firm is dedicated to fostering inclusive and climate-smart growth, while providing attractive returns for investors. BlueOrchard was founded in 2001, by initiative of the UN, as the world’s first commercial manager of microfinance debt investments. Today, BlueOrchard provides investors around the world with premium investment solutions, including credit, private equity, and sustainable infrastructure. Being an expert in innovative blended finance mandates, the firm is a trusted partner of leading global development finance institutions. With a major global presence and offices on four continents, BlueOrchard has invested to date more than USD 6bn across 80 emerging and frontier markets, enabling tangible social and environmental impact. BlueOrchard is a licensed Swiss asset manager of collective investment schemes authorized by FINMA. Its Luxembourg entity, BlueOrchard Asset Management S.A., is a licensed UCITS management company as well as a licensed alternative investment fund manager (AIFM) authorized by CSSF. For additional information, please visit: www.blueorchard.com.
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