Our Firm

MicroVest is an asset manager that specializes in allocating private debt capital to responsible microfinance and small and medium-sized enterprise (SME) finance institutions serving unbanked and underbanked microentrepreneurs and small businesses in emerging markets. As one of the first U.S.-based microfinance investors, MicroVest has built a track record since 2003 of investing in institutions whose interests are aligned with the borrowers and communities they serve. By catalyzing the availability of credit to these financial institutions—many of which serve as the first provider of formal credit to underserved microentrepreneurs and small businesses—MicroVest is helping to facilitate financial inclusion, deepen financial sector development, fuel productivity and local economic growth, promote gender equality, and reduce poverty.

Since its founding, MicroVest has disbursed more than $1 billion to over 200 microfinance and SME finance institutions in more than 60 countries.

MicroVest is a registered investment adviser, Certified B Corporation, and wholly-owned subsidiary of MicroVest General Partner Holding LLC, a Delaware statutory PBLLC whose public benefit purpose is to create scalable investment opportunities that support enterprising ventures and projects in underserved or underfinanced sectors and communities worldwide.

Origins of Responsible Finance

The origins of modern responsible finance can be traced back to the mid-1960s, when a number of multilateral institutions, government agencies, and non-profit organizations began creating affordable microcredit programs as part of their greater economic development agendas to assist the world’s poor. Many of these programs grew into what we know today as Microfinance Institutions (MFIs), which operate in a niche largely untapped by traditional banks.

While most traditional banks have chosen not to enter this market due to the perception that low-income, underbanked populations are higher credit risks and incur a higher cost to serve, at MicroVest, we think otherwise.

We believe that investing in responsible, well-run Microfinance and SME Finance Institutions that lend to underbanked micro and small businesses in emerging markets can unlock productivity that enables broader segments of the population to earn a living wage and pull themselves out of poverty.

Today, an estimated 1.7 billion adults lack access to basic financial services worldwide, 56% of whom are women.1 At the same time there is a $4.8 trillion funding gap to small businesses in emerging economies.2 Unfortunately, a significant number of unbanked adults and small businesses are unable to access credit through the formal financial system, which hampers the ability of these households and businesses to grow and generate wealth. We believe that when the underbanked are financially included, they can more effectively manage day-to-day finances, build financial resilience, and knowledgeably use financial products and services to pursue their dreams.

Illustrative Investments:

[1] World Bank Global Findex https://globalfindex.worldbank.org/

[2] IFC, MSME Finance Gap 2017, updated in 2018/19