Sector developments and company hires

Covid-19 relief initiative launched
Community Capital Management has launched an initiative to invest US$100m of assets in Covid-19 relief efforts. The aim is to offer organisations that wish to contribute to the long-term US recovery post-pandemic an opportunity to complement their philanthropic and volunteer resources through a seasoned fixed income strategy designed to provide high current income consistent with the preservation of capital. The initiative will invest in high-quality bonds that have positive societal impacts, including: agency RMBS financing loans to low- and moderate-income borrowers; agency CMBS financing affordable rental housing; and ABS financing small businesses, job creation and economic inclusion opportunities.

EIF boost for Irish enterprises
Social Finance Foundation has signed two funding initiatives aimed at community organisations and social enterprises in Ireland. Under the first agreement, AIB/EBS, Bank of Ireland, Permanent TSB and Ulster Bank will make available an additional €44m in low cost funding to the Foundation over the period 2021 to 2025. Under the second agreement, the EIF will provide loan guarantees totalling €25m to support new lending by the Foundation as part of the EU’s Employment and Social Innovation programme (part of the Investment Plan for Europe). The guarantee will cover 60% of any loan losses, with the Foundation and its partners taking the remaining 40%. The guarantee covers loans up to a maximum of €500,000 and is valid for the first 10 years of the life of the loan. Typical projects funded by Social Finance Foundation include community centres, social care organisations and niche housing associations.