The Mission Driven Bank Fund seeks to foster a stronger and more inclusive banking system by investing in mission-driven banks that provide credit and financial services to lower-wealth communities, rural communities, and communities of color across the United States. The Fund hopes to drive significant growth and financial resiliency in the mission-driven bank sector that translates into demonstrated progress in closing the racial wealth gap over the fund’s life.
History
In September 2021, the Federal Deposit Insurance Corp. (FDIC) encouraged the development of a Mission Driven Bank Fund, a private investment vehicle to support insured Minority Depository Institutions (MDIs) and Community Development Financial Institutions (CDFIs). As anchor investors, Microsoft and Truist agreed to lead the investment fund and hire a fund manager.
In late 2022, after a competitive process, the anchor investors appointed Elizabeth Park and Calvert Impact as co-general partners of the fund, with Elizabeth Park serving as lead fund advisor and Calvert Impact and Strategic Value Bank Partners serving as sub-advisors.
Photo credit: Heather Prescott Photography