Philadelphia, May 31, 2017: Reinvestment Fund today announced the creation of a $10 million Pay for Success (PFS) Fund to support PFS transactions in the United States. QBE Insurance Group, one of the world’s top 20 general insurance and reinsurance companies, plans to invest $7 million in the fund. Living Cities, a collective of the world’s largest foundations and financial institutions, plans to invest $2 million. Reinvestment Fund will invest $1 million from its core loan fund, which is supported by more than 850 impact investors. Reinvestment Fund will also manage and administer the fund.
PFS is an innovative financing mechanism that aligns private investment with promising policy interventions and high impact social services, while offsetting the financial risk if the programs do not achieve the desired results.
Read the full press release here.