Amount of Active Fund Investments in Female Founded Enterprises

/in /by

H-54

DEFINITION:

Value of active 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 is indicator is a subset of the Amount of active Fund Investments. It measures the Amount of investments in female founded companies.  Refer to Amount of Active Fund Investments for further methodological guidance. The methodology it follows is the same.

 

Note:

  • This measures the amount of investment. This is distinct from Value of find investments. The former measures the value at costs (how much was invested) while the latter measures the valuation of the investment at the time of reporting. The two can be complementary. The amount is used for tracking the in and out of the investments, the value assesses the growth or the value of the investments at exit, which is often also measured with other indicators.
  • To ensure female ownership is retained and not crowded out through the investment the female founder(s) must retain and active role still in the organization at the time of reporting. 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 active Fund Investments. It is expressed as the amount of investments not number (for this use Number of active Fund Investments in Female Founded Enterprises). It measures the current amount of active investments, not realized ones (this is covered under Number of realized Fund Investments). This indicator is distinct from Value of Loans Outstanding. Value of Loans Outstanding should be used for intermediated operations through banks etc. whereas Amount of active Fund Investments is used for funds, both equity and debt funds.

Unit: # currency