Responsible Investment Management and Advisory Services

Avoiding Overindebtedness with MIMOSA 2.0

A group of investors, including Triple Jump, have put their hands together to support the development of a much needed tool in the sector: MIMOSA 2.0, a tool that measures the risk of overindebtedness.

MIMOSA 1.0 was a prototype to show that such a metric is indeed possible, while MIMOSA 2.0 has been further developed in order to be a tool that can be used for decision-making. The framework of this tool consists in three components: credit penetration and capacity (which formulates the MIMOSA score) and a provisional score for credit card saturation to get a better understanding of the credit environment.

Additionally, MIMOSA 2.0 includes country reports with saturation scores at regional levels that can be a useful tool for investors to help define the growth strategy of its portfolio. Furthermore, it is also useful for regulators and financial service providers in their strategy planning.

You can download the MIMOSA white paper at: