Northern Arc Investments

Northern Arc Investments is a debt-focused investment firm based in India, dedicated to providing financing solutions to underserved sectors. The firm specializes in debt financing for companies that have a demonstrable track record in increasing the penetration of financial services in India. Their investment strategy is centered around making impact-oriented yet returns-focused investments in key sectors such as Microfinance, Affordable Housing, Small Business Loans, Vehicle Loans, Agri-business Loans, and Corporate Finance. Over the years, they have developed significant expertise in presenting sustainable solutions to investors through their funds, offering multiple investment strategies with varying tenures and liquidity preferences.

Established in 2014, Northern Arc Investments has raised over ₹6,500 crore in aggregate commitments across its Alternative Investment Funds (AIFs) and Portfolio Management Services (PMS) strategies, with successful exits facilitated in six AIFs and one PMS strategy. The firm adheres to the highest standards of fiduciary responsibilities, ensuring active portfolio management to meet objectives, transparent reporting on returns and impact measurement, and building one of the lowest fee structures in the industry into all their products. Their commitment to meaningful returns remains unwavering, and they take pride in consistently surpassing targeted returns across all their funds.

Northern Arc Investments is backed by marquee equity investors like IFC, Sumitomo Mitsui Banking Corporation, LeapFrog, Accion, Affirma Group, Dvara Trust, and Eight Roads (a proprietary arm of Fidelity). As of December 31, 2024, the firm handles an Assets Under Management (AUM) of ₹15,046 crore through its balance sheet and active AIF funds. Their mission is to provide accessible, reliable, and sustainable financial solutions to the underserved population in India, contributing to the growth and development of the country's financial inclusion landscape.