Social Performance

The process of social performance

Our understanding of social performance is the extent to which our entities translate their vision and mission into their operations, into their daily decision-making and into the impact they ultimately achieve on the ground.

This is why:
– LMDF collaborates with a non-profit association as an investment adviser, which provides in-depth analysis of social performance;
– the governance structure of the Fund gives special rights in terms of governance to investors taking charge of the first impact;
– the development of a detailed tool and due diligence to cover both the financial and social dimensions.

Measure Results

In 2020, the LMDF published a report analysing in detail whether the impact of our investment portfolio is up to our objectives.

Although this was a methodological challenge, the report covers eight indicators in two areas:
– the extent of the Fund’s focus on poverty and exclusion;
– the quality of services that institutions of microfinance offer their clients as well as their responsible behaviour towards them and their staff.

The results are encouraging. LMDF has a strong performance regarding its focus on poverty, both in terms of the countries where we are active, but also the MFIs that we have chosen to finance.

Funding for smallholder agriculture and women is relatively high compared to other microfinance investment funds. The MFIs in the Fund’s portfolio offer a wide range of services, which they provide effectively. Most institutions subscribe to client protection principles, a set of new microfinance standards establish what constitutes fair and equitable treatment of clients.

More in our Social Performance Report

Financial Return

Evolution of the NAV per Class C Share (in EUR)


Financial return for investors in Class C Shares (in EUR)

More information about how to invest in LMDF here