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Community Development

At Parnassus Investments, part of our responsible investment philosophy means investing back into our community. Up to 2% of the Parnassus Funds' assets may be invested with community development financial institutions (CDFIs) which offer credit, capital, and financial services to individuals and organizations engaged in work that benefits low-income communities.

We are cognizant of investing shareholder dollars profitably and responsibly. When we consider investing in a CDFI, we look at how much that institution has impacted a community as well as how conscientious they are when choosing to finance individuals and organizations. The following are examples of CDFIs that we invest in:

Microvest

MicroVest

The MicroVest family of funds links capital markets to the entrepreneurial poor by funding select microfinance institutions in emerging markets. MicroVest embraces a market-oriented approach to development and has made loans and investments in dozens of institutions worldwide. MicroVest is headquartered in the Washington, D.C. metropolitan area and was founded by CARE, MEDA and the Seed Capital Development Fund, three non-profit organizations with longstanding reputations for excellence in microfinance.

Community Bank of the Bay

Community Bank of the Bay

Community Bank of the Bay (CBB) is a community bank with offices in Oakland, Danville and San Jose, California. CBB is dedicated to meeting the financial needs of small/medium businesses, professional service firms and non-profits. As a locally owned and operated community bank, CBB is invested in the economic vitality and community spirit of the communities it serves. Deposits made at CBB remain within the community, providing loans to local businesses. CBB brings value to clients by understanding the local markets as well as having broad industry knowledge. CBB focuses the majority of its efforts and resources towards stimulating the local economy and improving the quality of life in the East Bay and South Bay.

Latino Community Credit Union

Latino Community Credit Union

Latino Community Credit Union (LCCU) is a community based and member-owned non-profit financial institution offering bilingual financial services, better credit options, and financial education to the North Carolina Latino community and other people without previous experience using a financial institution. Founded in 2000 as a grassroots response to a wave of robberies and muggings of Latino immigrants in Durham, North Carolina, LCCU has become a national model for credit unions and community development financial institutions seeking to serve unbanked, immigrant communities.

Root Capital

Root Capital

Root Capital strives to offer affordable financing to rural enterprises located Latin America, South America, and Africa whose business activities cultivate economic development and environmental conservation. This organization is able to invest in areas that are economically volatile because of its lender criteria that the borrower must have an established relationship with green market purchasers, ensuring that risk of default is minimized.

Boston Community Capital

Boston Community Capital

For Boston Community Capital, healthy communities can be identified as those that have organizations that provide its residents with quality services such as affordable housing, childcare, and healthcare services. Boston Community Capital recognizes that these crucial services are often lacking in low-income communities, and its mission is to transform such areas into healthy communities.