The authors o this paper are Jasmina Glisovic and Henry González (or CGAP) and Yasemin Saltukand Frederic Rozeira de Mariz (or J.P. Morgan). Deborah Drake (Council o Micronance EquityFunds— CMEF) provided invaluable guidance throughout the research. The authors also would liketo acknowledge the contributions o Greg Chen and Mayada El-Zoghbi rom CGAP, Danielle Donzarom CMEF, Aditya Srinath, Head o Indonesia Research at J.P. Morgan, Mervin Naidoo, Head o South Arica Financials Research at J.P. Morgan, and Sunil Garg, Head o Equity Research or Asia-Pacic at J.P. Morgan. Senayit Mesn, CGAP consultant, provided excellent research assistance.We thank the investors and MFIs who contributed to CGAP’s condential equity valuation survey(see the appendix or the ull list o contributing institutions).
The authors remain responsible for the opinions expressed in this report and for any inaccuracies.
This report is the result o a collaborative eort between CGAP and J.P. Morgan. J.P. Morgan analystsare solely responsible or the investment opinions and recommendations, i any, in this report.See page 17 or important disclosures.
© 2012 Consultative Group to Assist the Poor/The World BankAll rights reserved.Consultative Group to Assist the Poor1818 H Street, N.W.Washington, DC 20433 USAInternet: www.cgap.orgEmail: firstname.lastname@example.orgTelephone: +1 202 473 9594
quity capital fows into micronance have been increasing or many years, with both retailand institutional investors showing interest in this sector o nancial services. Despitethis growth, the vast majority o equity investments are still made in the orm o privateplacements, as there are only three publicly traded micronance institutions (Equity Bank inKenya, Compartamos in Mexico, and SKS in India). The diculty in accessing private dataand the scarcity o publicly listed entities have limited the scope o the market researchavailable to equity investors in micronance institutions.To address this research gap, CGAP and J.P. Morgan joined eorts in 2009 to publishan annual Global Micronance Equity Valuation Survey Report. This partnership benetsrom the deep micronance market knowledge o CGAP and the emerging markets equityresearch skills o J.P. Morgan. In the past two years, it has also beneted rom the supportand industry experience o the Council o Micronance Equity Funds (CMEF). The aim o these yearly publications is to provide benchmarks or the valuation o micronanceequity, both private and publicly listed, to promote market transparency and identiyindustry trends.This year’s report is the ourth edition o this research partnership. Previous editions o the report are available on the J.P. Morgan and CGAP Web sites.