Claudia Sheinbaum Elected as Mexico's First Female President and AlphaMundi's Impact Investing strategy to fuel Gender Equality
For the first time in history, Mexico elected a female head of government: Claudia Sheinbaum, from Morena, who became president for the next six years. She is not only a politician and former mayor of Mexico City but also a scientist and an academic. This brings a unique perspective to the presidency, promising evidence-based policies and a focus on innovation. On top of that, she won the presidency against another female candidate and with the highest vote percentage in Mexico's democratic history. This historic milestone is expected to inspire future generations, fostering a more equitable and diverse political landscape in Mexico.
Economic and financial empowerment is crucial for Mexico's development, especially in the context of the pervasive violence against women (in 2022, there were 968 reported cases of femicide in Mexico). Empowering women economically not only enhances their security and autonomy but also drives broader societal progress. When women have access to financial resources, education, and employment opportunities, they are better equipped to break the cycles of poverty and violence. This empowerment fosters a more equitable distribution of wealth and reduces gender disparities, leading to a more stable and prosperous economy. Additionally, economically empowered women are more likely to participate in decision-making processes, advocating for policies that promote safety, justice, and equality.
AlphaMundi has been a pioneer in gender lens investing at an international level for years and our investment strategy has a big focus on Latin American MSMEs. More specifically in Mexico, we have allocated over 32% of our SocialAlpha Investment Fund’s portfolio to sectors such as Fintech, Microfinance, Energy, Housing and Education. AlphaMundi has adopted increasing measures to scale development and maximize gender equality in its portfolio companies, implementing accountability mechanisms to quantify these impacts. Our Framework for Impact Measurement and Management is in line with the 2X Criteria, the industry standard for gender impact reporting. We are proud to communicate that in 2023, these efforts contributed to tangible positive effects, such as a 5% increase in our female client base to 35%, and an overall alignment of our portfolio with gender-lens principles. By 31 December 2023, women represented 12% of senior management and 39% of staff across AlphaMundi’s portfolio companies in Mexico. In addition, over 30% of our portfolio companies in Mexico reported that they put initiatives in place to advance women in the workforce, and provide products or services specifically benefitting women. Finally, approximately 25% of client organizations served by our portfolio companies in 2023 were female-led.
AlphaMundi’s gender impact strategy also includes providing technical assistance to our investees through the AlphaMundi Foundation and creating strong business incentives for companies to increase their gender impact. We hope Mexico’s election results will inspire a greater political and economic empowerment of women in the region and look forward to contributing to this trend through the substantial gender impact of our investments and foundation activities.
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