PG Impact Investments, a global impact investment firm, has made its second investment in the financial inclusion sector through an investment in Accion Frontier Investment Fund (“AFIF”) on January 17, 2017. The fund is managed by Quona Capital and supported by Accion, a pioneering microfinance non-profit that serves as General Partner.
Although microfinance has reached 200 million people, more than 2 billion adults around the world still have no access to financial services. It is therefore imperative to take a step beyond microfinance by supporting companies that can increase the reach of financial services and lower transaction costs. Tapping into lessons learned from the microfinance sector while leveraging improved technology solutions, impact-focused financial technology (“fintech”) companies are well positioned to achieve this. PG II’s recent investment supports businesses that expand availability, quality and variety of financial services for low-income populations and SMEs, helping to build a financially inclusive world.
AFIF’s core objective is to address the scale challenges of financial inclusion. At the time of final closing, AFIF’s initial portfolio companies already provide 500’000 underserved individuals with access to high-quality affordable financial services and reach more than 200’000 SMEs with new or improved access to funding.
Quona Capital’s ability to add value through their expertise in financial services, financial technology and especially in mobile financial services as well as Accion’s involvement in AFIF were additional drivers of PG II’s decision to invest in the fund.
About PG Impact Investments
PG Impact Investments was founded in 2015 with the vision that private investment, innovation and entrepreneurial talent can provide solutions to the challenges faced by our society, as well as create sustainable growth. PG Impact Investments is a private sector, mission-driven, global investment firm specializing in investment solutions aimed at delivering financial returns as well as creating a positive social and/or environmental impact. It manages investment strategies for an international clientele of professional investors who are seeking investment solutions that offer market-rate returns, while also helping to address pressing social or environmental challenges. All profits from the business activities of PG Impact Investments are transferred to PG Impact Investments Foundation. The Foundation supports social initiatives and social businesses ventures that otherwise would not receive funding through commercial investors or investment funds. Whilst being independent from Partners Group, PG Impact Investments entities are backed by Partners Group and its employees, and benefit from the global infrastructure, investment know-how and specialist resources of this leading global private markets investment manager. www.pg-impact.com
About Quona Capital
Quona is the investment manager of the recently launched the Accion Frontier Inclusion Fund (AFIF) and its predecessor fund, Frontier Investments. Quona is backed by financial inclusion leader Accion, global insurance companies, prominent investment banks, pension funds, university endowments, a global payments company, and ultra high net worth family offices. For more information, visit www.quona.com
Accion is a private, nonprofit organization with the mission of building a financially inclusive world by giving people the financial tools they need to improve their lives. A world pioneer in microfinance, Accion was founded as a community development organization in 1961 and issued its first microloan in 1973 in Brazil. Over time, Accion has helped to build 62 microfinance institutions in 31 countries on four continents. Those institutions are currently reaching millions of clients. In the United States, the U.S. Accion Network is the largest microfinance lending network in the country and has served tens of thousands of clients, with over USD 300 million in loans. For more information, visit www.accion.org.