Boston—Today, Social Finance announced its third close of The UP Fund, bringing the fund to $49.9 million. The UP Fund is designed to help unemployed and underemployed people secure in-demand careers and achieve economic mobility.
The UP Fund currently supports Career Impact Bonds with four different training providers: General Assembly, Acuitus, Alchemy Code Lab, and American Diesel Training Centers. The Career Impact Bond is an impact financing model that uses student-friendly income share agreements to provide education and wraparound support services to people looking to upskill. Social Finance plans to double the number of partnerships in the next year and aims to serve more than 8,000 individuals in total.
Third close investors include the W.K. Kellogg Foundation, the Inherent Foundation, and the Phillips Foundation, as well as individual donors with donor-advised fund (DAF) contributions from The Boston Foundation, the Combined Jewish Philanthropies of Greater Boston, Fidelity Charitable, Vanguard Charitable, and the New Hampshire Charitable Foundation.
The third close included 15 individual investors through DAFs, representing 37% of commitments for the close. DAFs represent 17% of the total commitments for the UP Fund to date. The fund’s first close was in December 2019 and its second close was in November 2020. The fund’s fourth and final close is scheduled for the end of 2021.
Social Finance raises the capital and manages the UP Fund, as well as the individual Career Impact Bonds, identifying and vetting training providers, structuring partnerships, and managing for impact throughout the 10-year life of the fund.
Disclaimer: The UP Fund offers partnership interests only to eligible investors and admission to the UP Fund as a limited partner is not open to the general public. Partnership interests in the UP Fund will be offered solely to U.S. persons who are “accredited investors” within the meaning of Rule 501(a) of Regulation D as described in the fund’s Confidential Private Offering Memorandum and related documents.
About Social Finance
Social Finance is a national impact finance and advisory nonprofit. By working with public, private, and social sectors, we create partnerships and investments to measurably improve lives. In the past decade, we have mobilized over $225 million to help more than 35,000 individuals realize improved outcomes in education, economic mobility, health, and housing. Learn more at socialfinance.org.
Director of Communications, Social Finance