Implementing a Gender Lens

1
Gender Inclusive Investment Strategies

• As a female-founded firm, we are often called
  upon to share our insights on gender lens
  investing. Specifically, a growing number of
  investors are asking how they can allocate
  capital in ways that have a meaningful impact on
  gender inequality. Athena Capitals recent white
  paper, Investing in Gender Equality reviews the
  practice of gender lens investing and examines
  specific gender inclusive strategies that can be
  integrated into an investment portfolio.
•  
• Gender inclusive investment strategies are
  designed around theories of change, or action and
  outcome relationships, which target gender
  issues. They seek to empower women by increasing
  their access to capital, advancing workplace
  equity, or creating new services and products.

2
Access to Capital Gender inclusive investment
strategies focused on improving womens access to
capital are available in a variety of forms. Some
investors make angel investments that back
female entrepreneurs. Other investors place
capital with managers that focus on funding
women-led businesses. Patamar Capital runs a fund
and accelerator for women-backed companies in
Southeast Asia that might appeal to investors
focused on emerging markets. By contrast, True
Wealth Ventures pursues risk-adjusted,
market-rate returns by investing in US-based,
women-led startups. Golden Seeds is another
US-based investor that provides seed and
early-stage capital to female entrepreneurs.   Cha
nneling capital to women-led investment teams is
another gender inclusive strategy that directly
and indirectly promotes gender equality. Female
fund managers not only serve as role models they
also play an important role in connecting female
entrepreneurs to capital. In a 2010 white paper
titled, High Performance Entrepreneurs Women in
High-Tech, Cindy Padnos, founder of Illuminate
Ventures, notes that venture capitalists will
rarely consider an investment opportunity unless
it comes through a personal connection.
3
The gendered nature of business networks in
Silicon Valley has been well-documented and is a
key reason, Padnos concludes, that female
entrepreneurs struggle to raise capital. Thus,
increasing the number of female venture
capitalists is a critical intervention. Workplace
Equity In the public markets, many investors
not only invest in companies with positive
gender-related attributes, but also use their
shareholdings to effect change. Investment
managers such as Trillium Asset Management,
Walden Asset Management, and Boston Common Asset
Management have staff dedicated to shareholder
engagement. Backed by holdings of their
investment funds, these advocacy professionals
engage with corporate leaders across sectors and
geographies to encourage the adoption of gender
inclusive policies. In addition to establishing
an expectation of transparency, engagement
efforts focused on gender inclusive policies make
companies and their employees aware that
investors care about the effect gender diversity
has on corporate performance.
4
Products and Services Without female-led
innovation as well as adequate representation of
women in senior corporate leadership, the needs
of women can be misunderstood and even ignored.
Businesses that focus on the nuanced needs of
women alongside those of men contribute to
efforts to promote womens empowerment and gender
equality.   Investors focused on products and
services designed for women often emphasize a
particular category, such as womens health or
financial services. Others may pursue
opportunities that grow from the fact that women
control most of the spending in the US, yet
remain vastly underserved across many
markets1.   Interestingly, products that are
gender neutral, such as cell phones, can be
tremendous enablers of womens empowerment. For
example in developing markets, the availability
of cell phones to access digital financial
markets, has the potential to lift millions of
women and their families out of poverty2.
5
Compelling Opportunities A gender lens can inform
understanding of the evolving landscape of
opportunities across the asset class spectrum and
across the themes of access to capital, workplace
equity, and products and services for women. I
invite you to read our white paper, Investing in
Gender Equality, to learn more about Athenas
experience working with clients that invest to
achieve gender equality.     1 Michael
Silverstein and Kate Sayre, The Female Economy,
Harvard Business Review, September 2009. Accessed
via https//hbr. org/2009/09/the-female-economy  
2 Melinda Gates. 2015. Cellphones for Women
in Developing Nations Aid Ascent From Poverty.
New York Times, April 1, 2015 https//www.nytimes.
com/2015/04/02/business/dealbook/melinda-gates-cel
lphones-for-women-aid-ascent-from-poverty.html?_r
0
6
  Specific funds mentioned in this document are
for illustrative purposes only and were not
selected for performance based reasons.   Article
Resource - https//www.athenacapital.com/blog/gend
er-inclusive-investment-strategies/