Investors

THE COMMUNITY INVESTMENT GUARANTEE POOL (CIGP) — couple in front of house

For interested investors & guarantors:

For investors concerned with creating impact, guarantees can be a powerful tool. By taking unfunded guarantees and pooling them together, the CIGP will:

  • Centralize a source of credit enhancement for intermediaries
  • Reduce complexity by building capacity to deploy and manage guarantees
  • Accelerate community investment without requiring current endowment liquidity
  • Mitigate losses by sharing them pro-rata across a pool of guarantors

Email cigp@locusimpactinvesting.org for our investor guide and additional information.

Download Investor Guide

Guarantors and Investors


CIGP Impact

CIGP will track and evaluate impact on three levels: loan, program and field.

In measuring loan level impact, metrics will be determined by sector area. Some possible metrics could include but are not limited to:

Housing: New & preserved affordable housing, workforce housing, rapid rehousing, housing for seniors/disabled individuals/veterans, etc.

Small Business: Jobs created/preserved, living wage jobs, businesses led by entrepreneurs of color, women

Climate: Megawatts solar power created, greenhouse gas reduced, energy generated for sale

Sample Guarantee Use Cases

Sector

Affordable Housing and Climate Solutions

Impact Summary

Save 1,800 low-income people $19mm in system lifetime energy bills and reduce CO2 emissions


Loss Position

First-loss protection credit enhancement and liquidity facility to protect third party lenders

Sector

Small Business and Affordable Housing

Impact Summary

To support successful developers of color growing their project size and winning more bids for local private and municipal development contracts


Loss Position

First loss credit risk protection on portfolio of affordable housing related developer loans

Sector

Small Business

Impact Summary

A new fund will support CDFI small business loans to exclusively female entrepreneurs of color with expected impact of wealth creation, new job creation and narrowing wealth gap


Loss Position

Second loss position in credit risk protection (additional loan loss reserve) on an asset-pool of CDFI loans

Sector

Small Business

Impact Summary

Start-up food co-ops will create access to healthy foods for over 13k families, create 340 living wage jobs, strengthen 1800 small local farms and generate $10mm of economic activity in local communities


Loss Position

Second loss credit risk protection; supplemental loan loss reserve on a portfolio on new loans

Sector

Small Business

Impact Summary

Strengthen the businesses and wealth of entrepreneurs of color in Persistent Poverty Zone low-income and Counties in the Delta States


Loss Position

Capped second-loss credit risk protection

Ready to dive right in?

Learn more about how joining the Community Investment Guarantee Pool can leverage your balance sheet for impact.

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THE COMMUNITY INVESTMENT GUARANTEE POOL (CIGP) — Infographic City Skyline