New Innovative Fund: Dual Return Fund – Vision Microfinance Local Currency – Is ...

Sep 2010
Vienna, Austria, September, 27 2010 - Absolute Portfolio Management, Vienna brings its investment management, emerging markets and microfinance expertise in providing financing exclusively in local currencies to microfinance institutions through the pioneering “Dual Return Fund – Vision Microfinance Local Currency”

Absolute Portfolio Management GmbH, Vienna, Austria is pleased to announce the launch of its new global microfinance investment fund, the Dual Return Fund – Vision Microfinance Local Currency that enables investors to have an involvement in the microfinance industry through investments into a diversified portfolio of microfinance debt instruments denominated solely in the local currencies of the developing countries (emerging and frontier markets) in Latin America, Eastern Europe, Asia and Africa.

Strengthening economic fundamentals and expected currency appreciation of emerging countries in addition to the need of attracting socially responsible investments for poverty alleviation through microloans lay stable foundation for the activity of Vision Microfinance Local Currency Fund. Access to international financial markets in local currencies opens new opportunities for the working poor in many developing countries. Foreign financing in local currencies enables many microfinance institutions (MFIs) to finance the growth of microfinance sector. It will also help MFIs and their numerous clients – micro-entrepreneurs and small enterprises to escape unwanted exposure to exchange rate risk and higher debt burden.

Absolute Portfolio Management, an Austrian investment company dedicated to the concept of responsible investment, has been actively working in the area of microfinance investment management since 2006, with the start of the Dual Return Fund – Vision Microfinance.

The Dual Return Fund – Vision Microfinance promotes a sustainable delivery of financial services to the working poor. By providing capital for people who are excluded from the official banking sector and economic development, the possibility of a positive self-reinforcing cycle is afforded, i.e. financial security, savings and growth. Micro and small employers are able to work and therefore stabilize their cash flows, create jobs and increase their standard of living.

Through an investment in the Vision Microfinance Fund, loans to carefully selected microfinance institutions (MFIs) are financed, the MFI‘s in turn lend it on in the form of micro-credits to poor people locally. Since Fund’s inception microcredits in amount of 175 million US dollars to 88 different MFIs in 28 countries were financed. The Vision Microfinance Fund with the current volume of 91 million Euros is invested in 23 countries and 53 MFIs. The Vision Microfinance Fund’s MFIs’ estimated outreach is around 230,000 micro-entrepreneurs and their families.

About Absolute Portfolio Management GmbH
Absolute Portfolio Management (APM) is an independent company that is specialized in asset allocation, analysis and management of alternative investments and microfinance. The company’s main clients are institutions and high net worth individuals in Germany, Austria and Switzerland. APM values the ethical treatment of all stakeholders and plans to increase its role in the area of socially responsible investment in the coming years.


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