Now available: Support Israeli Small Businesses and Nonprofits with a Loan from Your DAF.

For 35 years, Ogen has strengthened Israel’s economic foundation by delivering inclusive, affordable credit to small businesses and nonprofits that are often left behind by the traditional financial system.

Small businesses make up 97% of Israeli commerce and employ 45% of the workforce, yet receive just 9% of credit, while nonprofits contribute 6% of Israel’s GDP and employ 12% of the population but remain underserved by traditional banks.

With an impact loan from your Federation donor-advised fund (DAF) to Ogen, you provide the low-cost capital that allows Ogen to offer small businesses and nonprofits credit at a social interest rate. Loans are paired with hands-on mentorship, so entrepreneurs and organizations can navigate pivotal moments of growth, stability, or survival. Your loan becomes a life-changing loan for someone else — turning fair credit into dignity, resilience, and lasting economic security for the businesses and organizations that anchor Israel’s communities.

Minimum investment

$1k

Term

5 years

Principal repayment after five years; interest paid annually

Target net return

2.5%

Annual rate

About Ogen

Originally established to help immigrants from Ethiopia and the former Soviet Union adjust to their new lives in Israel, Ogen has expanded its outlook over the years. In 2020, Ogen launched its Social Loan Fund, through which DAF holders can direct capital to small businesses and nonprofits in Israel. Having made more than 86,000 loans and loaned close to $990 million since 1990, Ogen has extensive experience in managing loans to borrowers who are otherwise considered high-risk. Ogen’s loans help Israelis overcome financial challenges, grow, and prosper. 

How Impact Investing Works at the Federation

Donors choose to use money held in donor-advised funds (DAFs) and supporting foundations for below-market rate loans and investments.
Loans are made to select mission-driven financial services partners such as CDFIs, Hebrew Free Loan, and impact-first investment firms.
Partners provide affordable loans and technical assistance to small businesses, nonprofits, and families who use the the loans and support to create positive change in their communities.
Once the loans are repaid, the money is returned to the DAFs and supporting foundations, ready to be re-loaned or used for grants.

Jewish Values, Universal Impact

The Federation has built the leading impact investing program in the Jewish community, funding projects that have helped create a more inclusive and equitable economy. We lend to mission-driven organizations that step in where traditional financial services fall short.

Our loans help underserved individuals and businesses gain access to fair and affordable credit in the Bay Area, across the U.S., and in Israel. This philanthropic model leverages our resources as one of California’s largest community foundations and an innovator in North America’s Federation network.

The Federation’s impact investing practice gives donors the option to use money held in donor-advised funds (DAFs) and supporting foundations for low-interest loans to support philanthropic goals.

This lending model multiplies the impact of every dollar

Once the loans are repaid, the money is returned to the DAFs and supporting foundations, ready to be re-loaned or used for grants.

Rather than sitting in traditional investment accounts, these dollars are out working toward their intended charitable purpose, aligned with the Jewish values that guide our work.

These impact loans are typically made with funds pooled from numerous DAFs, maximizing individual fund owners’ impact even more.

Jewish Values, Universal Impact

Donor Dollars at Work

Over $56M Invested for Good. Our Impact Investing Supports:

Financial Inclusion and Support

Access to fair and affordable financial services for underserved populations
Training for good jobs and economic development
Small business support in Israel

Fostering a Thriving Jewish Community

Zero-interest loans across Northern California from Hebrew Free Loan
Building and renovating Jewish communal residences for students and families in the Bay Area

Affordable Quality Housing

Addressing the housing crisis in the Bay Area
Residential stability with access to supportive services
Bridging the racial wealth gap for Black homeowners

Climate Change Mitigation

Renewable energy initiatives
Investing in businesses owned by people of color so they can contribute to and benefit from the transition to a green economy

Sustainable Agriculture and Training

Loans to California farmers to purchase land
Improving financial stability of farmers in the Bay Area foodshed
Increasing access to agricultural training and information

Capacity Building for Nonprofits

Expanding the scope and reach of Bay Area nonprofits serving low-income residents

Access to Quality Education

Equitable access to education for “Dreamers”
Support of a Bay Area Jewish Day School

Water, Sanitation, and Hygiene

Improving water infrastructure and management
Access to clean drinking water in rural California communities

Quality Jobs and Skills Training

Job training leading to employment in a changing U.S. economy
Helping immigrants to Israel enter the high-tech sector

Impact Investing Spotlights

Bringing Berkeley Bayit Back

Berkeley Bayit is a Jewish communal living house established in 1980 on the UC Berkeley Campus. While the original vision of kibbutz-style living remains strong, the historic house was in dire need of seismic upgrades and remodeling. Barry Cohn—a board leader at both the Federation and the Berkeley Bayit and a founding member of Berkeley Bayit—worked to implement his vision for utilizing Federation donor-directed funds for community projects. By structuring a low-cost loan to the Berkeley Bayit, the Federation mobilized philanthropic capital that was not otherwise needed for grantmaking.

The Bayit has been significantly transformed. The Bayitniks raised an impressive $565K for their project—and the $765K Federation loan covered the remaining renovation costs. Today, the house boasts seismic safety upgrades, new plumbing and electrical wiring, modern appliances, a revamped kitchen, and new bathrooms. Thanks to Barry’s efforts and his work with the Federation, Berkeley Bayit will continue to be a vibrant center of the Jewish campus community for decades to come.

Investing in Change: CNote’s CEO and Her Mission to Close the Wealth Gap

Catherine Berman’s career has been profoundly influenced by her family’s dedication to tikkun olam and Jewish traditions. These values inspired her journey to becoming the co-founder and CEO of CNote, an innovative platform designed to invest in the economic prosperity of financially underserved communities across America.

During her early career in finance, Catherine saw numerous financial innovations designed to further enrich the wealthiest 1%. Motivated by the Jewish teaching, “If not now, when? If not me, who?”, she felt compelled to act. Leaving traditional finance behind, she founded CNote to prove that financial innovation can be a powerful tool for closing the wealth gap, rather than widening it. Since its inception in 2017, CNote loans have created or retained 10,000 small business jobs and generated 6,000 new affordable housing units, all while allowing investors to earn interest on their deposits. To date, the Federation has invested nearly $6 million with CNote for impact and financial inclusion nationwide.