Amount of Realized Fund Investments in Female Founded Enterprises

/in /by

H-56

DEFINITION:

Cumulative value of realized invested capital on a cost at investment basis to enterprises in which there is an active female founder(s). Female founder(s) must retain an active role in the organization as of the end of the reporting period.  An active role may include acting in an advisory capacity for key decisions and does not necessarily require a full-time role at the organization.

GUIDANCE:

This indicator is a subset of the Amount of realized Fund Investments. It measures the amount of investments realized in female founded companies the fund had invested in. Refer to Amount of Active Fund Investments for further methodological guidance. The methodology it follows is the same.

 

This indicator reflects the amount actually invested by the fund in investee companies that have been realized by the end of the reporting period. For reporting purposes, debt and equity investments may be reported separately or combined into a single reporting metric if made explicit. All reporting is at a cost of investment basis, and does not reflect the actual proceeds received by the fund. Investments should be considered realized when the fund no longer holds securities in the investee company (regardless of any monetary amounts that may still be due as part of a deferred consideration or escrow). Investments which are written off, meaning the value of the investment has been eliminated with no prospect of recovery, should be considered realized investments.

 

Note:

  • To ensure female ownership is retained and not crowded out through the investment the female founder(s) must have retained and active role still in the organization throughout the investment. An active role may include acting in an advisory capacity for key decisions and does not necessarily require a full-time role at the organization
  • Practitioners may refer to specific gender benchmarks and application guidance as needed, such as those specified by the 2X Challenge (2xchallenge.org).

Applicability: Fund investment where possible and relevant, not intermediated finance.

Related indicators: This indicator is a subset of the parent indicator Amount of realized Fund Investments. It is expressed as the amount of realized investment, not at the number (Number of realized Fund Investments in Female Founded Enterprises), which can cover a different sets as the amount may also cover partial divestments. It measures the amount of realized investments, not active ones (this is covered under Amount of active Fund Investments in Female Founded Enterprises).

Unit: # currency