On Citigroup's Impact Investment Fund. Comments by Jalil Boulahssas, Impact Investing Intern, University of Richmond
Citigroup, in continuing its efforts to focus on impact investments and societal issues, has launched a $150 million venture capital fund with a specific focus. This fund, issuing up to $10 million to qualified companies, looks to uplift firms run by women and minorities as well as firms assisting their employees in societal challenges such as training, housing, and overall personal development.
William Michael Cunningham, the CEO of Creative Investment Research, highlights the fact that big banks have not effectively invested in black-owned businesses. However, a growing number of impact investment funds offering equity capital could have a significant effect on the sector.
According to Citi’s head of global public affairs, Ed Skyler, this fund falls in line with several of Citi’s “Pathway to Progress” initiatives in promoting impact investment and financial inclusion. As the only bank to use its own balance sheet in a fund of this nature, it has already begun working with its own investment professionals to analyze dozens of potential companies.
As investors and firms alike continue to demonstrate an interest in such initiatives, there looks to be an inflow of capital to select minority-owned businesses.
William Michael Cunningham, the CEO of Creative Investment Research, highlights the fact that big banks have not effectively invested in black-owned businesses. However, a growing number of impact investment funds offering equity capital could have a significant effect on the sector.
According to Citi’s head of global public affairs, Ed Skyler, this fund falls in line with several of Citi’s “Pathway to Progress” initiatives in promoting impact investment and financial inclusion. As the only bank to use its own balance sheet in a fund of this nature, it has already begun working with its own investment professionals to analyze dozens of potential companies.
As investors and firms alike continue to demonstrate an interest in such initiatives, there looks to be an inflow of capital to select minority-owned businesses.