Truestone Impact Fund LP

United Kingdom

Last updated 12 May 2020, by Impactyield.

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Truestone Impact Fund LP invests on a global basis and across impact sectors such as sustainable agriculture, SME finance, banking, microfinance, sustainable forestry, social housing, healthcare, renewable energy and water and waste management mainly in developing nations.

The Fund focuses on private equity and private debt to SMEs, mostly in frontier markets through our Local Investment Partners who operate on the ground, providing local expertise, deal flow and ongoing mentoring and monitoring of investments. The Fund invests in businesses that demonstrate measurable social and/or environmental benefits, good governance practices and aims to deliver attractive risk adjusted returns. The investment process integrates impact analysis with traditional financial analysis to ensure genuinely impactful investments.

The fund targets an approximate 50/50 split in debt and equity investments for a blended annual return of 12% plus an annual distribution of 3%. The term of the fund is five years plus two optional two year extensions.

Impact metrics are recorded from investees on a regular quarterly basis in an IRIS compatible framework which is then assured by an independent auditor, currently Deloitte on an annual basis and published in the public domain.

Financial description

The fund's financial strategy is to generate 12% per annum over a 5 to 9 year period through investing in private equity and private debt in SMEs. In addition the fund aims to make annual distributions of 3% from the debt element of the portfolio.
We aim to balance the higher risk/return ratio traditionally associated with private equity investments in developing markets with lower but more stable returns from private debt.
Truestone works with Local Investment Partners in key geographies, who add the extra security of local knowledge and understanding, so important in selecting the strongest SME opportunities to support financially and nurture through to their full potential. Our key markets are Africa, South East Asia and Former Soviet Central Asia. Strong ties exist with local investment partners such as Uberis Capital, A Call to Business Trading Limited and Briken Limited. These businesses will use their local contacts and knowledge to identify SMEs and other opportunities with the potential to succeed financially and generate positive impact for local communities.
Regional weightings are applied driven by opportunity set and expected economic environment, whilst limits are also applied at business, country and region level to balance the risk taken on.
The fund invests across all impact sectors, as defined by IRIS.

8 years

of track record


the year funded

25,000,000 USD


Asset manager

Truestone Impact Investment Management


Headquarters location:

Other funds managed by this asset manager: Positive Impact Property Fund – Nairobi

SDG goals

SDG targets

Equal rights to ownership basic services technology and economic resources

Sustainable food production and resilient agricultural practices

Universal access to sexual and reproductive care, family planning and education

Universal access to modern energy

Increase global percentage of renewable energy

Expand and upgrade energy services for developing countries

Promote policies to support job creation and growing enterprises

Increase access to financial services and markets

Key performance indicators

Fund overview

Asset manager: Truestone Impact Investment Management

Product track record: Fund has 8 years of track record

Target IRR: 12%

Committed Capital: 7,500,000 USD (US Dollar)

Target return category: Risk-adjusted market-rate of return

Fund domicile:

Product status:

Style/Stage: , , , , , , , ,

Inception year: 2015

Vintage year: 2015

Target region: , ,

Target close date: n.a.

Product term: 5 year term with option to extend by two periods of two years

Assets under management: 25,000,000 USD (US Dollar)

Investment size: Min: 250,000; Max: 0; Avg: 700,000

Co-investment policy: ,

Currency of investments:

Currency for fund / product figures:

Fund investments to date: 15

Fund investments to date exited or repaid: 7

Management fee: 2%

Carried interest: 20%

Hurdle rate: 6.0%%

GIIN Investors' Council Investment: No

Limited Partners / Investors: n.a.

Limited Partner / Investor Type: Development Finance Institution (DFI), Endowments/Foundations, Family Office, Pension Funds, Other Institutional Investors, Retail Investors


E-mail: n.a.


Phone number: 442071352480.00

If you wish to have your details removed from this database please email

Ritchie Macdonald

Marketing Director

Impact Performance


Impact thesis

To ensure levels of social and environmental impact anticipated by our underlying investments are achieved, Truestone Impact Investment Management operates a structured monitoring process.
Truestone Impact Fund LP sets out to help deliver the following core objectives:
• Give disadvantaged communities a fair chance in life through the provision of job opportunities, health services, housing, access to finance and education.
• Preserve or improve the natural environment through limiting pollution and protecting endangered ecosystems.
To do this profitably we operate parallel impact and financial due diligence processes.
Our impact measurement process:
1. Each investment is scored on operational policies and practices covering environmental, social and governance performance. These scores are checked during site visits.
2. It must then demonstrate a quantifiable impact against IRIS compatible measures based on the fund’s core objectives. The relevant IRIS measures are then agreed against which to measure impact.
3. The research team stay in regular contact with all underlying investments and impact results are compiled quarterly.
4. We aggregate the total cumulative impact achieved by each of the underlying investments into a consolidated impact table quarterly.
5. Annually the impact results and the process are assured by Deloitte

Impact Management


Financial benchmark

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