BlueOrchard Finance S.A., a privately owned microfinance investment adviser and manager, works with financial institutions and private/institutional investors to help them invest in debt issued by microfinance institutions (MFIs) through different investment products. Total assets under management currently amount to approximately $730 million. BlueOrchard has developed strong relationships with MFIs and has demonstrated that it can identify and select appropriate MFIs as candidates for debt financing. It has also cultivated investor relationships. Its products seek to meet the needs of investors and MFIs as well.
BlueOrchard Finance S.A. is currently managing eight investment products/structures:
- Four Debt Funds: Dexia Micro-Credit Fund, Saint-Honoré Microfinance Fund, BBVA Codespa Microfinance Fund, and Microfinance Enhancement Facility (MEF)
- Three Collateralized Debt Obligations (CDOs: Blue Orchard Microfinance Securities I, BlueOrchard Loans for Development 2006 (BOLD 1, and BlueOrchard Loans for Development 2007 (BOLD 2)
- The BlueOrchard Private Equity Fund
BlueOrchard seeks to work with strong performing and growing microfinance institutions by matching their financing needs with investors in the capital markets. They structure product offerings that work for populations, microfinance institutions and investors.
The impact of BlueOrchard's work has been to bring an increasing number of mainstream investors to the field of microfinance by developing a flagship fund, the Dexia Micro-Credit Fund, that now has an eight-year track record, and by continued innovation in developing longer term products suitable for microfinance institutions. More than 15 strong performing MFIs have accessed global capital markets for long term debt and it is our expectation that this trend will continue.