Four years ago, The Rockefeller Foundation set out to invest in bold and innovative financing products and solutions to catalyze new capital to help meet the UN Sustainable Development Goals (SDGs). Our ambition resulted in the development of the Zero Gap Fund (ZGF or the Fund). We are proud to say that, as of June 2023, the Fund is fully committed across 12 investments.
ZGF has provided catalytic capital during an increasingly challenging global macro environment, addressing the world’s most pressing challenges including climate change, financial inclusion, access to essential services, and the ongoing conflict in Ukraine. The Fund has reached beyond mainstream strategies to target new impact themes, for which there are few sources of seed capital yet have potential to deliver significant positive economic, social, or environmental impact.
Launched in 2019 in partnership with the John D. and Catherine T. MacArthur Foundation and its flagship Catalytic Capital Consortium (C3), the ZGF deploys flexible, patient and risk tolerant capital to catalyze private investment into strategies that address the SDGs. The Fund’s mandate is to support innovative products and structures that are replicable and scalable and demonstrate how new solutions may drive needed financing for global good.
In 2022, ZGF made two new investments: Seedstars International Ventures II and Horizon Capital Growth Fund IV. Both investments highlight the importance of tech-enabled companies and disruptive technology for delivering impact. Seedstars provides venture capital and training to tech-enabled start-up companies across emerging and frontier markets.
Horizon Capital, Ukraine’s leading private equity firm, focuses on export-oriented technology companies with operations that have proven resilient during the ongoing conflict. Their Growth Fund IV supports local enterprises that provide employment opportunities in Ukraine and neighboring Moldova.
The Zero Gap Fund: 2022 State of the Portfolio report provides details about the Fund’s investments and the impact they have been able to achieve. As the Fund matures, we are seeing the power of catalytic capital to mobilize private investment into these impact-driven strategies. Innovative financial solutions like those advanced by ZGF are designed to be replicated and scaled. These and other ground-breaking financing solutions developed through the Fund will play a critical role in channeling meaningful private capital flows into investments that deliver positive impact to underserved and vulnerable people, communities, and ecosystems.
Maria Kozloski
Senior Vice President, Innovative Finance
The Rockefeller Foundation
- Report
Zero Gap Fund: State of the Portfolio 2022
The Rockefeller Foundation's Zero Gap Fund (ZGF) invests in innovative solutions for global challenges, partnering with the Catalytic Capital Consortium (C3) to attract private investment. Notable 2022 investments include tech startups and resilient enterprises in Ukraine and Moldova. The fund's 2022 State of the Portfolio report highlights its impact, demonstrating catalytic capital's role in mobilizing private investment for positive global change.Download PDF