The Mission Pushed Financial institution Fund is happy to announce a partnership with the Nationwide Bankers Affiliation Basis and UpMetrics to trace the social affect of the Fund’s capital and technical providers funding in Minority Depository Establishments (MDIs) and Group Improvement Monetary Establishments (CDFIs).
MDIs and CDFIs are mission-driven group lenders who present entry to capital and credit score in minority, low- and moderate-income (LMI), and rural communities. These establishments assist shut the racial revenue and wealth gaps by offering entry to banking providers that help dwelling possession, enterprise progress, and high quality job creation to underbanked or unbanked communities.
The Nationwide Bankers Affiliation Basis has offered priceless insights into the wants of those establishments and methods to make them higher. Primarily based on understanding the market, the Mission Pushed Financial institution Fund will search to make supportive investments and backed technical providers to construct organizational capability. UpMetrics will acquire and analyze portfolio firm knowledge, by way of EquityEQ – a personalized dashboard developed in partnership with the Nationwide Bankers Affiliation Basis, as an essential a part of the Mission Pushed Financial institution Fund Impression Administration & Measurement course of. By way of these efforts, the partnership hopes to enhance financial institution resiliency, enhance entry to capital to underserved communities, amplify the significance of group lenders, and appeal to extra investor capital to capitalize the sector additional.
“Our partnership with the Nationwide Bankers Affiliation Basis and UpMetrics is a vital step in gaining insights into the progress the Mission Pushed Financial institution Fund is making towards closing the racial revenue and wealth gaps. We’re dedicated to working with our financial institution companions to know the numerous optimistic long-term outcomes they’ve on their communities,” stated Krystal Langholz, Director and Head of Technical Companies for the Mission Pushed Financial institution Fund. The partnership builds on an ongoing relationship between UpMetrics and the Nationwide Bankers Affiliation that included a year-long pilot with MDIs and CDFIs in 2022-2023.
“By leveraging the Nationwide Bankers Affiliation Basis’s material experience and UpMetrics’ state-of-the-art affect measurement platform, we’re capable of present banks and their buyers with a strong framework for evaluating the importance of mission-driven investments,” stated Drew Payne, CEO UpMetrics. “The underside line is that empowering banks to extra simply and successfully leverage their knowledge will create higher outcomes for the communities they serve.”
Along with affect reporting and inner analytics, the partnership hopes to supply public insights that may assist policymakers, philanthropic foundations, and different stakeholders higher perceive the sector and its significance. “By producing empirical analysis on the social affect of mission-driven group lenders, we will present actionable insights that may improve the effectiveness of each public coverage and market-based improvement in our nation’s most deprived communities,” stated Anthony Barr, Analysis and Impression Director for the Nationwide Bankers Affiliation Basis.
The Mission Pushed Financial institution Fund is anchored by investments from Microsoft and Truist and is at the moment pursuing extra closings with a goal of over $500 million in complete capital. “The Fund gives FDIC-insured MDIs and CDFIs tailor-made monetary options and technical help designed to construct capability and improve group affect,” stated Paul Welch, Portfolio Supervisor of the Mission Pushed Financial institution Fund. The Fund had its first shut on the finish of 2023 and has began to deploy capital.
Supply: The Mission Pushed Financial institution Fund
The previous press launch was offered by an organization unaffiliated with NonProfit PRO. The views expressed inside don’t straight mirror the ideas or opinions of the workers of NonProfit PRO.