BlueOrchard, an impact investment manager which is part of the Schroders Group, has launched a credit fund dedicated to improving financial inclusion worldwide.
The Impact Credit Fund invests in a portfolio of smaller financial institutions globally that play a crucial role in social and environmental development, spanning across sectors such as SME lending, digital payment solutions, renewable energy, and energy efficiency.
The fund, which is open to institutional investors, will also engage in direct lending to medium-sized businesses.
“We see three megatrends shaping fast-growing emerging markets today: demographics, digitalisation and decarbonisation,” said Philipp Mueller, chief execuctive at BlueOrchard.
“These developments are accompanied by significant capital needs and investment opportunities, which our regional teams are seeing first-hand. We are excited to have launched an investment strategy that captures these opportunities, fills a gap in terms of both funding and impact, and complements our investment platform.”
The fund is open to qualifying investors, subject to local regulation, through a range of share classes denominated in different currencies.
BlueOrchard was founded in 2001 by initiative of the UN, as the first commercial manager of microfinance debt investments worldwide.
It offers impact investment solutions across asset classes, connecting millions of entrepreneurs in emerging and frontier markets with investors.
It has invested over $10bn (£8bn) to date across more than 100 countries.