Access Africa Fund, a for-profit limited liability company, has become the first US-based microfinance investment vehicle (MIV) to obtain the “Microfinance Label” from the Luxembourg Fund Labeling Agency (LuxFLAG), an MIV certification organization. The label certifies that the fund invests most of its assets in the microfinance sector.
The objective of the Access Africa Fund is to provide capital appreciation by lending local currency to and making strategic equity investments in microfinance institutions operating throughout sub-SaharanAfrica. Financial information on the fund is not available. As of 2012, 24 MIVs have been granted the LuxFLAG Microfinance Label, representing assets of approximately USD 3.48 billion.
By Brendan Millan, Research Associate
About Luxembourg Fund Labeling Agency: Established in 2006, the Luxembourg Fund Labeling Agency (LuxFLAG) aims to “promote the raising of capital for Microfinance and Environment related sectors by awarding a recognizable label to eligible microfinance investment vehicles (MIVs) and environment-related investment vehicles (EIVs).” Its objective is to reassure investors that the MIV or EIV actually invests, directly or indirectly, in the microfinance or environment sector. LuxFLAG only certifies MIVs and EIVs that are either subject to European Union member state supervision or located in nations with financial supervision on par with countries in the European Union. As of 2012, 24 MIVs have been granted the LuxFLAG Microfinance Label, representing assets of approximately USD 3.48 billion.
About Access Africa Fund: Formed in 2010 by the nonprofit international relief agency CARE USA, Access Africa Fund is a for-profit limited liability company based in the US state of Delaware. The investment objective of the fund is to provide capital appreciation by lending local currency to and making strategic equity investments in microfinance institutions located throughout sub-Saharan Africa. Financial information on the fund is not available.
Sources and Resources:
[1] LuxFLAG: “Access Africa Fund First US Domiciled Microfinance Investment Vehicle to Obtain The LuxFLAG Microfinance Label”, http://www.luxflag.lu/documents/press_releases/2012/LuxFLAG_Press_release_ii_April2012_final.pdf
MicroCapital.org story, February 14, 2012, “MICROCAPITAL BRIEF: Luxembourg Fund Labeling Agency (LuxFLAG) Awards First Microfinance Label to Azure Global Microfinance Fund, responsAbility Financial Inclusion Fund”, https://www.microcapital.org/microcapital-brief-luxembourg-fund-labeling-agency-luxflag-awards-first-microfinance-label-to-azure-global-microfinance-fund-responsability-financial-inclusion-fund/
MicroCapital.org story, January 23, 2012, “MICROCAPITAL BRIEF: Microfinance Investment Vehicle Certification Organization Luxembourg Fund Labeling Agency (LuxFLAG) Accepting Applications for Environmental Label”, https://www.microcapital.org/microcapital-brief-microfinance-investment-vehicle-certification-organization-luxembourg-fund-labelling-agency-luxflag-accepting-applications-for-environment-label/
MicroCapital.org story, October 10, 2011, “MICROCAPITAL BRIEF: LuxFLAG Grants Microfinance Label to Microfinance Enhancement Facility, Selectum, Etimos Fund, Dual Return Fund Vision Microfinance Local Currency; Renews Label for Six Other Microfinance Investment Vehicles (MIVs)”, https://www.microcapital.org/microcapital-brief-luxflag-grants-microfinance-label-to-microfinance-enhancement-facility-selectum-etimos-fund-dual-return-fund-vision-microfinance-local-currency-renews-label-for-six-other-micro/
MicroCapital Universe Profile: Luxembourg Fund Labeling Agency (LuxFLAG), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=LuxFLAG
MicroCapital Universe Profile: Access Africa Fund, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Access+Africa+Fund
MicroCapital Universe Profile: CARE International (CARE), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=CARE+International
Browse the MicroCapital Universe and add your entry to the wiki at: https://www.microcapital.org/microfinanceuniverse/
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