Small Money Big Impact

Preface

In 1990, when the world population was 5.2 billion, 36 per cent of the world lived in extreme poverty. Today – with 7.3 billion people – an estimated 12 per cent live in poverty. Over the past 25 years, the world has gone from nearly 2 billion people living in extreme poverty to fewer than 1 billion.

World Bank Group President Jim Yong Kim

Dear reader,

In our world, we witness on a daily basis, how small money can have a big impact. A microloan of just a few dollars empowers people in developing countries to be economically independent and therefore able to safeguard their own and their families' future.

Microfinance has established itself as a vital instrument with leading development banks in the fight against poverty. The geopolitical relevance of microfinance is undeniable. Institutional and private investors alike have come to realize the value of microfinance investment vehicles for their portfolios and appreciate the double bottom line of social and financial returns. Judging by the positive experiences and results of this asset class, the microfinance industry is emerging and breaking ground into impact investing, aiming to achieve a positive impact in areas such as education and climate change.

Microfinance and impact investing are a mega‐trend and change the way we invest, offering unique investment opportunities that put the interests of investors and recipients on the same level and have a positive impact on the lives of millions of people. We have been ...