Munich-based Sonanz Management invests in impact funds that aim to meet the needs of people living on less than $10 per day.
“This large unmet demand is best served by local entrepreneurs who understand their markets and the specific needs of their customers,” the company says.
A new fund of funds that has raised $10 million so far will invest in four to six impact funds. In its first investment, Sonanz is contributing an undisclosed amount to impact-investment firm Lok’s third fund, which has a target of $100 million.
Lok has invested in healthcare, agriculture, and financial services, including affordable-housing finance company Ummeed Housing; the firm has raised $90 million and committed at least a third of the capital.
Sonanz is backed by Swedish pension fund SEB Stiftelsen, H&M Foundation and German and Swedish private investors.