|
VISION Fund - Reliable returns by investing in
social businesses
GEXSI is currently exploring the potential to launch innovative
investment products. Our flagship is the VISION Fund. The formula
of the VISION Fund is simple and in essence - once we can demonstrate
a successful start - replicable in financial markets around the
world:
 |
A normal, high yielding investment
fund aiming at market returns on investment is launched, in
which a social investment component is embedded. |
|
 |
The Fund is structured in a way that
the high yielding investments (e.g. an index fund) will preserve
the capital of the fund independent from the financial returns
of the social investments which are made. |
|
 |
This allows us to invest a certain
proportion into a portfolio of social businesses, with the sole
rationale to focus on the social returns, accepting a higher
volatility and possibly low financial returns than traditional
investment funds could accept. |
|
In other words, some of the profit made in the financial
markets will be pre-assigned to pro-poor investments. This kind
of "tandem" fund yields both sufficient financial returns,
as well as significant social returns.
GEXSI works on the VISION Fund jointly with two partners: The Global
Economic Network, Berlin, and the Institut für Vermögensaufbau,
Munich. We are in the process of sounding for an suitable partner
from the financial community to host the fund.
|