FAQ: Mission Driven Bank Fund's $200 Million Final Close and Its Impact

What is the Mission Driven Bank Fund (MDBF)?

The MDBF is a fund dedicated to supporting FDIC-insured Minority Depository Institution (MDI) and Community Development Financial Institution (CDFI) banks to foster a stronger and more inclusive banking system.

How much capital has the MDBF raised?

The MDBF has raised $200 million of capital with its final fundraising close.

What is the purpose of the MDBF?

The purpose of the MDBF is to invest capital and provide technical services to FDIC-insured CDFI and MDI banks targeting low to moderate income African American, Native American, Asian, Hispanic, and Pacific Islander communities to help close the racial wealth gap.

Who are the key partners or investors in the MDBF?

Key partners and investors include Microsoft, Truist, Elizabeth Park Capital Management, Calvert Impact, Strategic Value Bank Partners, and Performance Trust.

How has the MDBF utilized its capital so far?

The MDBF has deployed over a third of its capital to MDI and CDFI banks and continues to build active pipelines across the country.

What is the technical services program mentioned?

The MDBF created a technical services program that has high participation levels among its bank partners, aimed at supporting mission-aligned banks to accomplish their impact goals.

How can MDI and CDFI banks or interested parties contact the MDBF?

Interested parties can contact the Fund at [email protected].

What is the significance of the MDBF’s final close?

The final close signifies a major milestone in the MDBF’s mission to support a more inclusive banking system by providing meaningful levels of support to mission-aligned banks across the country.

Who manages the MDBF?

The Fund’s portfolio manager is Paul Welch, and it is managed by Elizabeth Park Capital Management and Calvert Impact as the general partners, with Strategic Value Bank Partners as a subadvisor and Performance Trust as a capital advisor and structuring agent.