Impact Investments Total $4.75 Million
Susan Shumaker, Cone Health Foundation president, readily acknowledges that “Our Board members understand that mission related investmenting can complement our grantmaking objectives and generate a return on investment. It’s about aligning our investments with our mission and values.” Cone Health Foundation has deployed investments in two Community Development Financial Institutions with Greensboro branches.
Cone Health Foundation’s first mission related investment (MRI), totaling $4.5 million, began with the Latino Community Credit Union (LCCU). The LCCU provides strong financial returns, while ensuring that local hard-working families from immigrant and other traditionally underserved communities have access to essential economic opportunities. Deposits in LCCU circulate in the local economy, creating new economic opportunities. As these loans are repaid, new loans are deployed, creating a multiplier effect of $2 million in loans generated for every $1 million in deposits, over 5 years. LCCU launched in 2000 and has grown into one of the largest and most successful credit unions in North Carolina. Check out LCCU’s YouTube channel to see how they are building bridges every day.
Self-Help Credit Union is another MRI partner, now holding $250,000 in Cone Health Foundation assets. Self-Help’s mission is to create and protect ownership and economic opportunity for all. They do this by providing responsible financial services, lending to small businesses and nonprofits, developing real estate and promoting fair financial practices. While their work benefits communities of all kinds, the focus is on those who may be underserved by conventional lenders, including people of color, women, rural residents and low-wealth families and communities.
In 2020, Cone Health Foundation will deepen its focus on impact investing with the goal of generating mission-related social change, alongside financial return.