MicroVest Launches New Framework for Portfolio Impact Management

March 07, 2024

MicroVest, a pioneer of U.S.-based microfinance investing, this week launched its new Impact Framework: The Pyramid of Intentionality (PI). The new Framework seeks to evolve the practice of impact management across the asset manager’s existing and future funds, with a standardized approach to assessing, managing, and measuring the impact targeted by the firm’s investments, in line with leading industry standards.

The launch of MicroVest’s PI coincides with the firm’s 20th anniversary and marks three years since its acquisition by DAI. Today, MicroVest forms part of the asset management division of DAI Capital, DAI’s investment and advisory arm, which operates across three verticals: asset management, investment advisory, and project finance.

To accompany the launch, Microvest has published a Framework Guide to illustrate how the PI was designed and developed.

“We have evolved our portfolio impact management processes so that we can better assess our impact performance against the portfolio’s targeted sustainability goals—not just at the firm level, but across our investments and their ultimate beneficiaries,” said Leela Vosko, MicroVest’s Director of Impact. “Our new Framework is aimed at enhancing our efficiency and effectiveness in managing, measuring, and reporting on that impact.” 

“Over the coming decade, MicroVest, with our parent company DAI Capital, aims to mobilize substantial private capital to address key development challenges at scale,” said MicroVest Chief Executive Officer Michael Apel. “This Framework lays the groundwork for unifying and standardizing impact evaluations to facilitate more efficient and impactful capital deployment.”