Data & Intelligence

Expanding Institutional Investment into Emerging Markets via Currency Risk Mitigation

The United States Agency for International Development (USAID) has identified and championed a pressing issue that is, at once, a major public policy imperative and a crucial concern for the international investment community: how to mobilize greater flows of private equity (PE) capital for private sector development in emerging markets (EMs) by reducing currency (FX) risk for institutional investors and fund managers?

Within the development finance community, mobilizing greater private capital for sustainable growth is the issue of our time. Bilateral international development priorities and global Sustainable Development Goals cannot be achieved though publicsector spending alone. The needs are too great and the dollars
too few.

Development actors must actively engage private-sector players to catalyze and leverage substantial resources to promote sustainable growth across the developing world. Unfortunately, FX risk – specifically, the fear that an investment return in an EM will be washed away when converted back to U.S. dollars or Euros, because the local currency loses its relative value over time – is keeping billions (perhaps trillions) of dollars on the sidelines that could otherwise be invested in EM businesses to create jobs, grow tax bases, and enhance social safety nets.

EMPEA represents the leading global investors in EM. I look forward to working alongside to drive much-needed capital for financing entrepreneurs and businesses worldwide.

Renuka Ramnath | Founder, Managing Director & Chief Executive Officer, Multiples Alternate Asset Management Private Limited

EMPEA plays an important and energetic role across the markets it represents, driving outreach and research initiatives, and promoting the role of private capital.

Brian Lim | Partner and Head of Asia and Emerging Markets, Pantheon Ventures

The developed markets have no equivalent to the role EMPEA is playing as a convener and source of trusted information in the emerging markets.

David Rubenstein | Co-Founder and Co-Executive Chairman, The Carlyle Group

I’m honored to join fellow industry pioneers in the leadership of an unparalleled network, filled with first movers, shaping the future of industries and communities.

Dr. Andrew Kuper | Founder and CEO, LeapFrog Investments

EMPEA's market and industry intelligence opens doors to new sources of capital.  I look forward to the future success of EMPEA and its members.

Torbjorn Caesar | Senior Partner, Actis

While there are certainly challenges for the industry, the opportunities abound in our target markets and globally, making a global association like EMPEA more relevant than ever.

Drew Guff | Managing Director & Founding Partner, Siguler Guff & Company