Northwestern Mutual Invests in Women Owned Startups

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Northwestern Mutual Future Ventures announced it wants to move female entrepreneurs forward with a big investment in startups owned by women.

The company will dedicate $20 million of its funding to invest in these startups. According to Northwestern, this funding allocation will further its investment strategy of engaging startups whose technologies have the potential to redefine financial security and build focus on technological disruption.

The investment comes as the lack of funding for female-founded startups is coming into scrutiny. Startups helmed by women receive less than three percent of the near $80 billion in venture capital funding annually, according to CrunchBase. Startups founded by both sexes receive around eight percent of the total capital, coming second to male-founded companies that secure 89 percent of all venture capital invested worldwide annually.

“Women play an essential role in financial decision-making for themselves and their families and by investing in women-owned startups, we can create more opportunities for women through a dedication of funds, but also gain strategic insights to better serve our clients,” said Northwestern’s COO and EVP Souheil Badran, in a statement. “We’re committed to supporting female entrepreneurs and providing access to capital and resources to help them grow their businesses. Allocating $20 million is only the beginning – we will continue to invest in and provide opportunities for female founders.”

Northwestern says the investment focuses on the need to address consumer’s changing financial preferences, re-imagine the client experience, consumer’s digital health and the changing state of financial analytics and technologies.