Globalization: Why Micro Matters

Wall Street is figuring out how to profitably package tiny loans to Third World entrepreneurs

"Lending money to the world's poorest people? With no collateral? You must be out of your mind." That was the typical response Deutsche Bank's Asad Mahmood says he used to get when he tried to sell Wall Street on the concept of expanding microcredit in developing countries as a viable investment rather than charity work. But throw in a projected risk-adjusted return of 14%, and suddenly the Sheratons, ADPs and CalPERS of the world are more willing to consider what has long been the province of venture philanthropists and NGOs. As director of Deutsche Bank's Community Development Group, Mahmood is also...

Want the full story?

Subscribe Now


Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!