VENTURE INVESTMENTS
Unlocking Access, Untapped Opportunity
Impact fund investments are typically deployed without an impact equity lens, widening the wealth gaps for women, minorities, and non-tech hub cities.
Venture Capital (VC) funding has historically been an insular network. Even as recently as 2018, only 2.2% of venture capital (VC) went to women founders, and less than 1% went to women founders of color.
It's time to recognize new opportunities, leverage diverse thinking, and fund new communities and markets.
OPPORTUNITY
The opportunity is simple. Allocate more VC funding into diverse teams, new fund managers, and focus on injecting capital into growing markets. In the decade 2007-2018 the number of Latina-owned firms increased by 172% and the number of Black-women owned firms rose 164%. The number of startups founded by Black women has more than doubled since 2016. Research proves that diverse leadership increases innovation and improves the bottom line. Yet somehow the dollars don’t follow. Make a difference by allocating with LISC into a diverse VC and enjoy high yielding returns.
OUR APPROACH
VC and most return-driven strategies are typically deployed without an equity lens, but here at LISC we intentionally allocate to VC’s investing in women, minorities, and non-tech hub cities.
We invest in fund management teams that adhere to an impact directive as a key part of their investment strategy. Through this, we are able to obtain note only capital returns, but also social change. This powerful combination drives racial equity and helps reduce the wealth gap.