The Federal Deposit Insurance Corp., which investment support
from Truist Financial and Microsoft, is launching a fund supporting minority depository institutions and community development financial institutions.
The agency said in a press release Thursday that the
Mission-Driven Bank Fund has $120 million in initial commitments. Truist and
Microsoft are leading the investment fund, while Discovery will join as a
founding investor.
"Microsoft and Truist have answered the call to become anchor
investors and to assist the FDIC in developing this Fund for the benefit of
mission-driven banks and, most importantly, the people and places these
institutions serve,” FDIC Chairman Jelena McWilliams said in the release.
“It is our hope that with the commitment of these industry
leaders, more private equity investors will join the growing ranks of those
committed to building opportunity and prosperity where this support is needed
the most,” McWilliams added.
The fund is expected to help MDIs and CDFIs provide
affordable product and services, stimulate economy and community development,
and build “opportunity and prosperity,” the release said.
The FDIC said it engaged about 70 CEOs from MDIs and CDFIs, along with their trade groups
and potential investors, to discuss the project.
The FDIC will serve as an
advisor but it will not contribute capital to, manage, or be involved in the fund’s
investment decisions.
No comments:
Post a Comment