A new three-year partnership between IDB Lab and Recast Capital aims to strengthen investment management capabilities across Latin America and the Caribbean, potentially improving access to capital for innovative businesses and the development projects they undertake.
The initiative, known as the LAC Emerging Fund Managers Launchpad, will expand Recast Capital’s Accelerate programme to support emerging venture capital fund managers across the region.
The partnership will focus on developing investment management capabilities, strengthening fund operations and connecting local managers with investors, particularly in countries where venture capital activity remains limited.
For project and programme professionals, the initiative highlights the importance of developing institutional capabilities alongside financing mechanisms to support investment, innovation and economic development.
Programme targets financing gaps in emerging markets
Access to investment remains uneven across Latin America and the Caribbean, creating challenges for businesses seeking funding to develop and scale new technologies, products and services.
According to LAVCA’s 2025 Trends in Tech report, Brazil and Mexico attracted more than 70% of regional venture capital investment, while Central America, the Caribbean, Bolivia, Paraguay, Peru and Uruguay collectively received less than 5%.
The new programme aims to address these disparities by supporting locally based fund managers capable of identifying investment opportunities and mobilising capital.
Although the partnership does not directly finance infrastructure or development projects, it is intended to strengthen the investment ecosystem through which emerging businesses can secure funding.
For companies undertaking technology development, commercialisation or expansion programmes, access to venture financing can influence project scope, investment timing and the resources available for implementation.
The initiative therefore focuses on developing the financial management capabilities needed to support a broader pipeline of business investment.
Twelve-month development programme combines training and operational support
The partnership will integrate Latin American and Caribbean participants into Recast Capital’s existing Accelerate programme alongside US-based fund managers.
Launched in 2023, Accelerate has supported 79 funds across three cohorts.
Participants will undertake a structured 12-month programme covering fundraising, investor relations, legal operations, financial management and organisational development.
The programme includes executive coaching, peer learning groups and access to shared professional services.
It will also provide support in areas including artificial intelligence, automation, investment presentations and exit management.
From a programme delivery perspective, the initiative brings together multiple development activities within a coordinated framework, with the aim of helping emerging managers establish investment organisations capable of operating to institutional standards.
The training will be adapted to regional conditions, including local regulatory and service environments and the requirements of different investor groups.
Courtney McCrea, Co-Founder and Managing Partner of Recast Capital, said establishing the operational foundations of an investment firm was a significant challenge for first-time managers.
“Beyond picking companies, you have to stand up a firm institutional LPs will trust and raise from investors who may never have backed a first fund,” she said.
Three workstreams designed to develop investment capacity
The partnership will operate through three complementary activities.
The first involves supporting existing emerging fund managers through the Accelerate programme, helping them strengthen their operational capabilities and fundraising processes.
The second will introduce Aspiring Fund Manager Bootcamps for professionals considering launching their first venture capital funds.
These workshops will target prospective managers, including angel investors and business operators, with the objective of developing a pipeline of new investment organisations.
The third workstream will focus on engaging limited partners and encouraging greater investment into locally managed venture funds.
Together, these activities are intended to address different stages of investment ecosystem development, from preparing new fund managers to strengthening existing firms and increasing the availability of capital.
Sara Zulkosky, Co-Founder and Managing Partner of Recast Capital, said the programme was designed to tackle these interconnected challenges.
“There are people in these markets who would make strong fund managers and have not made the leap, and there are local investors who have never allocated to local venture funds,” she said.
“Working on all three at once is what sustainably grows venture ecosystems.”
Monitoring and research included in programme
Recast Capital will work with the Milken Institute to publish research on participating fund managers, extending an approach already used with its US cohorts.
The research will include information about the demographics of founders supported by participating investment managers.
This will provide a basis for examining the characteristics of businesses receiving investment through the programme’s participating funds.
However, the organisations have not yet announced specific programme performance indicators, investment mobilisation targets or the number of fund managers expected to participate.
The financial value of the partnership has also not been disclosed.
Initiative focuses on capacity building rather than direct project funding
Graham Macmillan, General Manager of IDB Lab, said the partnership would strengthen the foundations needed to expand access to venture capital.
“Venture capital can be an important source of financing for innovation-driven companies with the potential to scale, but strong venture ecosystems also need locally rooted fund managers with the support, networks and resources to succeed,” he said.
The initiative represents a capacity-building programme rather than a direct commitment to finance individual projects.
Its potential contribution to project development will depend on whether participating managers establish sustainable funds, attract investment and subsequently finance businesses undertaking innovation and expansion activities.
For project management professionals, the partnership illustrates how programme design, institutional development and financing capacity can be connected to longer-term economic development objectives.
The three-year initiative will seek to build the management structures, investor relationships and professional capabilities needed to support future investment activity across Latin America and the Caribbean.
Participating fund managers will be announced following the selection process.
