Creating Opportunities. Creating Wealth.
Creation Investments Capital Management, LLC is a leading alternative investment management company with a focus on private equity investments in Microfinance Institutions, Small-and-Medium Enterprise lenders, Emerging Market Banks, and other BOP Financial Services Providers. Named a leading Impact Investment fund manager by ImpactAssets50 in 2011, Creation Investments currently manages 4B Capital Fund A, L3C, Creation Investments Social Ventures Fund I, Creation Investments Social Ventures Fund II and specialized managed accounts from individual, family office and institutional investors. Together with our portfolio companies, we provide access to capital and needed products and services for those living in poverty to engage in small-business activity and income generation, significantly impacting those living at the bottom of the economic pyramid. Currently, we serve 4.5 million entrepreneurs with over $1.1 billion in small business loans outstanding. We seek to maximize financial and social returns on investment, creating significant wealth for all of our stakeholders, especially our end clients.
Not Giving. Investing.
Trillions of dollars have been transferred to the poor in the last 50 years in charitable giving and services. Yet, poverty persists and billions of people go without daily basic human needs. While charitable giving is critical, alone it has not and will not break the cycle of poverty. When the poor are given access to capital and other financial products such as savings or insurance, communities are changed as capital is used for sustainable, economically beneficial activity.
Not only do these kinds of investments provide an economic return, they are a critical part of social transformation, giving dignity through work and empowerment to men and women of all socioeconomic classes. Calling upon market principles, we believe that investing, not giving only, has the potential to help solve this daunting world crisis. Creation Investments employs a for-profit model seeking to outperform direct charity socially as well as the broader market for our investors.
Not Socially Responsible. Socially Active Investments.
Socially responsible investments have experienced tremendous growth in the past five years, attracting trillions from institutions and individuals who care about impact not just profit. Yet, there is a significant difference between being socially responsible and socially active – the former focuses on the avoidance of harm whereas the later is concerned with positive social impact.
Socially responsible investments avoid dumping pollutants into lakes and streams. Socially active investments sponsor clean water projects. Socially responsible investments prohibit predatory lending. Socially active investments offer the poor access to capital to start businesses. Socially responsible investments filter out companies involved in arms and narcotics dealings. Socially active investments provide needed medication to those in the bottom of the pyramid.
Creation Investments seeks to address the needs of the BOP through supporting sustainable, socially active ventures with other like-minded, social entrepreneurs who desire to invest with purpose. While every investment we make involves negative screens on social and environmental practices, our portfolio companies proactively address social issues through profitable business operations.