The Gateway Fund makes equity and quasi-equity investments in microfinance institutions (MFIs) worldwide and is managed and treated as a private, commercial institutional investor.
Accion executes its MIG strategy (management, investment and governance) through the Gateway Fund. In other words, Accion partner MFIs receiving Gateway Fund investments also receive Accion-provided board representation, staff in key managerial positions and technical consultants to improve efficiency and implement best practices, so that they can provide an increasing range of sustainable financial services to their clients. The fund specializes in MFIs that are at the beginning of their life cycles, are in organizational transition or need additional capital to support their growth. These institutions may or may not be profitable at the time of investment. However, with the right combination of market conditions, governance, management and technical expertise, the institutions can become sustainable.
Established in 1996, the Gateway Fund was one of the first investment funds specialized in taking equity and quasi-equity positions in MFIs in Latin America and the Caribbean. Today, the fund targets investment opportunities across Latin America, Africa and Southeast Asia.