Impact investment manager BlueOrchard Finance has reported strong performance and growth across all its strategies and products, building on a strong investment pipeline and expanding investor base.
In the first half year of 2019, BlueOrchard further strengthened its position as the world's largest asset manager in the field of microfinance, delivering a stable and strong financial performance with strategies and products addressing the UN Sustainable Development Goals (SDGs).
The flagship fund, the BlueOrchard Microfinance Fund (BOMF), has delivered a strong social and financial performance and exceeded the $2bn investment mark in June 2019. With a 20 year track record, the fund is the world's first, and today, largest commercial impact fund dedicated to emerging and frontier markets. Its scale has shown a positive effect on the funds' performance.
As of 30 June 2019, more than 24 million micro-entrepreneurs have been reached by microfinance institutions funded by BOMF, enabling them to create and grow income-generating activities and to break out of poverty. 52% of the micro-entrepreneurs reached are female clients and 47% come from rural areas. BOMF addresses with its investments 11 SDGs.
In addition, the BlueOrchard Emerging Markets SDG Impact Bond Fund raised over $300m since fundraising started in December 2018, reflecting investors' demand for investment vehicles that combine financial returns and impact with liquidity. Moreover, the BlueOrchard managed InsuResilience Investment Fund acquired a stake in Agritask, a leading provider of data driven technology solutions to smallholder farmers in emerging markets. Through its global activities, the company is expected to reach out to more than 25 million farmers by 2025.
BlueOrchard was furthermore among the first signatories to the Operating Principles for Impact Management - a market standard for impact investing initiated by the International Finance Corporation, a member of the World Bank Group. Through its CIO, Maria Teresa Zappia, BlueOrchard will also be represented in the Advisory Board, which will provide advice on the implementation and evolution of the Principles.
In the second half of 2019, BlueOrchard will continue along this path, focusing on addressing the funding gap for green infrastructure projects at a sub-national level across African countries and further developing access to climate insurance products for those most vulnerable to climate events around the world.