The Federal Deposit Insurance Corp., which investment support from Truist Financial and Microsoft, is launching a fund supporting minority depository institutions and community development financial institutions.
The agency said in a press release Thursday that the Mission-Driven Bank Fund has $120 million in initial commitments. Truist and Microsoft are leading the investment fund, while Discovery will join as a founding investor.
The fund is expected to help MDIs and CDFIs provide affordable product and services, stimulate economy and community development, and build “opportunity and prosperity,” the release said.
The FDIC will serve as an advisor but it will not contribute capital to, manage, or be involved in the fund’s investment decisions.