DEG Impact, a subsidiary of DEG – Deutsche Investitions- und Entwicklungsgesellschaft, is launching a new private equity fund of funds. The industry magazine portfolio institutionell has published a detailed feature on the plans for the “Global Growth Guarantee Fund” (3xG Fund). The article outlines how the fund is intended to facilitate institutional investors’ access to high-growth markets in developing and emerging economies.

The 3xG Fund is a private equity fund of funds that invests in selected target funds in emerging markets. These, in turn, provide capital to fast-growing local companies. This structure is designed to give investors diversified exposure to emerging markets while taking into account both return potential and development impact. The focus is on regions such as Asia, Africa, and Latin America. These markets are characterized by strong growth dynamics, but also by a structural shortage of capital. Institutional investors in particular have so far made relatively cautious use of this potential.

A central feature of the new fund is an EU guarantee covering up to one-third of the fund-of-funds capital. It is intended to help mitigate risks, especially during the early investment phase. For investors, this is expected to enhance the attractiveness of investing in emerging markets. The 3xG Fund is designed as a long-term vehicle, targeting a volume of up to €300 million and broad diversification across multiple target funds and regions.

As the article makes clear, the 3xG Fund addresses core requirements of institutional investors: diversification, access to new growth markets, and the combination of returns and impact. At the same time, it underscores the role of private capital in driving economic development in the target regions, where sufficient equity capital and international networks are often lacking. The fund can also serve as an entry solution for investors seeking to gain initial experience in emerging markets and to build up further commitments over the long term.

The full article in German "Einstiegshilfe für die Emerging Markets" by Tobias Bürger can be found here:

portfolio institutionell May 2026 (link to article)(PDF, 85 KB, non-accessible)

Mobilizing private capital is a central pillar of DEG’s strategy. In addition to fund approaches such as the 3xG Fund, DEG is also expanding partnerships with internationally active players in order to promote investment in growth markets in a targeted way.

More on a recent collaboration with reinsurer Munich Re can be found here:
More private capital for impact investments: DEG and Munich Re deepen cooperation (DEG press release dated May 4, 2026)