MAPFRE AM, the asset management arm of the Spanish insurance group, is joining forces with Global Social Impact Investments SGIIC (GSI) to launch the Global Social Impact Fund (GSIF). A new investment vehicle which aims to raise EUR50 million for high social impact companies in both frontier and emerging markets.
The Global Social Impact Fund will initially focus on consolidated business models in sub-Saharan Africa with the longer-term view of expanding into Latin America. It will invest in three sectors: agriculture, energy and financial inclusion. GSI will manage the fund with support from Santa Comba and MAPFRE Group as its leading investors, while MAPFRE AM will act as an investment adviser.
The new proposal reinforces both MAPFRE and GSI’s commitment to ESG and Impact Investment. GSI will use the ‘Theory of Change’ model to evaluate companies held within the fund. A five-step process used to measure the improvement of the quality of life of people, communities, and the companies’ impact on the ecosystem, looking beyond merely quantitative data.
MAPFRE chief investment officer, José Luis Jiménez, says: “We are very excited about this project, and we couldn’t have wished for a better partner for this. We believe that impact investment has a long way to go and, after the pandemic, socially responsible investment is going to emerge stronger, particularly investments made with social criteria.”
María Ángeles León, founder and chair of GSI, adds: “Few Spanish companies have incorporated social awareness from the outset, but MAPFRE is one of them. Ignacio Larramendi himself said that the company is not only obliged to provide its service efficiently but is subject to institutional obligations resulting from its influence on social life and its contribution to the national heritage. GSI is grateful to be part of this project and to contribute our knowledge to expand and deepen our impact among vulnerable groups, who just need to be given an opportunity.”
