Microfinance Investment Vehicles and Performance Abstract

Nº 1 / 2017 - enero-marzo

Microfinance Investment Vehicles and Performance

Fernando Gómez-Bezares
Deusto Business School
Estibalitz Goicoechea
Universidad de Deusto
Paule Odriozola
Universidad de Deusto


In this Paper we analyse the attractiveness of the investment in Microfinance Investment Vehicles (MIVs). To introduce the topic we describe the main characteristics of the MIVs and afterwards we review the previous scientific literature that supports the interest of these investment assets.
In addition, we carry out an empirical test with the returns of 28 MIVs using different performance indexes, analyzing also the convenience of these indexes for this type of investment instruments. Due to the low levels of σ and β shown by the MIVs, the usage of performance indexes that apply a quotient penalization for the risk is not appropriate, while lineal indexes become more suitable.

Keywords: Microfinance Investment Vehicles, MIVs, Performance, Risk.