LuxLAG, the Luxembourg labeling agency, has granted the Mikro Kapital Mikro and Alternative funds so-called Microfinance Applicant Status under its labeling regime.
This means that the funds show a commitment to responsible investing principles, and have committed to apply for a full fund label once eligible. the Applicant Status has been developed to support marketing efforts of eligible funds during their subscription phase, with a labeling period running from 1-18 months after the date of launch. Applicants’ funds must be subject to supervision within an EU member state or supervision equivalent to that they would face in the EU.
The Mikro fund invests in loans to SME businesses in Russia and Belarus. The Alternative fund allocates to Europe and CSI countries – including Italy, Romania, Moldova and Armenia – as well as emerging markets in East Asia and Central America.
The two funds join an existing list of 31 Microfinance investment vehicles already labeled by LuxFLAG (https://www.luxflag.org/labels/microfinance/labelled-mivs.html). The agency previously set 15 January as the deadline for any application for full labeling.
Apart from the Microfinance label, LuxFLAG also offers Environment, Green Bond, Climate Finance and ESG labels to funds that meet the relevant criteria.