How can 2X qualification drive commercial value for investees?

by Jenny Holden and Alex Lockyer

Since its launch at the 2018 G7 Summit, the 2X Challenge has become a flagship of the global effort to mobilise capital for women’s economic empowerment. To date, more than 1,000 transactions, representing over US$33.6 billion invested across 600+ entities,  have been qualified under the initiative; meaning that they have been formally recognised by a 2X Challenge investor as meeting the 2X Criteria — the global framework for defining gender-smart investment.

But as gender-lens investing (GLI) matures, there is also growing demand to understand: what is the actual business value of 2X qualification for investees?

Is it simply a signal of intent? Or does 2X qualification itself, translate into tangible commercial advantage?

A new study by 2X Global, in partnership with Kore Global, set out to answer exactly that.

Overview of the Research

Drawing on survey data from 55 investees — spanning funds, financial institutions, and companies — alongside in-depth interviews, the research provides one of the first evidence-based looks at how 2X qualification influences business outcomes. 

The study examined the commercial value of 2X qualification across three core dimensions:

• Access to capital

• Market positioning and reputation

• Operational improvements

The findings highlight how 2X qualification is not just a label - it is increasingly functioning as a strategic business asset for investees across sectors and geographies.

Four Ways 2X Qualification Creates Commercial Value

“For many investees, 2X qualification serves as a powerful signal in a crowded market.

79% reported stronger reputation among investors and LPs.

62% viewed it as a meaningful market differentiator”

1. Strengthening Market Position and Credibility

For many investees, 2X qualification serves as a powerful signal in a crowded market.

• 79% reported stronger reputation among investors and LPs

• 62% viewed it as a meaningful market differentiator

In practice, this translates into greater visibility, stronger positioning, and enhanced credibility with mission-aligned capital providers. For investors, it offers a shorthand for identifying gender-smart, forward-looking businesses.

2. Improving Access to Capital

Access to finance is one of the most tangible areas of value.

• Over half (60%) of companies and financial institutions reported that 2X qualification had a moderate or significant influence on securing additional financing.

While rarely the sole deciding factor, respondents consistently noted that 2X qualification strengthens investment narratives, supports due diligence processes, and increases attractiveness to development finance institutions (DFIs) and other aligned investors. For funds in particular, the effect is even more pronounced, helping many to attract LPs and unlock DFI commitments.

“Beyond capital access, 2X qualification is opening new doors.
More than one-third (36%) of respondents reported new commercial opportunities. These include strategic partnerships, entry into new markets, and access to previously underserved customer segments. ”

3. Unlocking New Commercial Opportunities

Beyond capital access, 2X qualification is opening new doors.

• More than one-third (36%) of respondents reported new commercial opportunities

These include strategic partnerships, entry into new markets, and access to previously underserved customer segments. 

4. Driving Internal Performance and Operational Strength

Less visible (but equally important) are the internal changes catalysed by 2X qualification.

• 64% reported improvements in data collection and reporting systems

• Many highlighted stronger HR practices, leadership buy-in, and enhanced systems to address gender-based violence and harassment (GBVH) risks

For some organisations, 2X qualification accelerates existing gender strategies. For others, it provides a foundation for building them.

Either way, the process often strengthens the internal systems that underpin long-term business performance.

What This Means for Investors

For investors, the implications are clear: unlocking the full value of 2X qualification requires a more tailored and strategic approach.

• First, the value proposition must be aligned with investee priorities. What resonates with a fund manager may not resonate with a company or a bank. Messaging should reflect these differences.

• Second, the signal needs to be reinforced. Investees are more likely to pursue and prioritise 2X qualification when it is clearly rewarded in capital allocation and investment decisions.

• Third, implementation support matters. Technical assistance, practical tools, and flexibility are critical, particularly for investees earlier in their gender journey or operating in complex markets.

Looking ahead

From 2X Global's perspective, these findings also sharpen our own priorities as an ecosystem builder. The study provides evidence that 2X qualification creates commercial and strategic value for investees, including stronger market reputation, improved access to financing and more robust internal practices. Our role is to ensure that more investors can recognise, reward and build on that value by:

• Growing participation in the 2X Challenge. Many of our members (and the wider network of gender-lens investors) are already using the 2X Criteria to screen deals and assess investees. We are working to bring more public and private investors into the 2X Challenge so that more qualifying investments are formally recognised - creating value for the investee, and demonstrating a stronger collective signal to the market. 

• Closing the recognition gap. The value of 2X qualification depends partly on how widely it is understood and recognised. Strengthening awareness among commercial investors beyond the DFI ecosystem is therefore a priority. We will expand regional engagement, develop more locally relevant case studies and improve access to practical resources through our ecosystem partners, including multilingual resources where they can support greater understanding and uptake.

• Translating insights into action. The research also shows that investors have an important role to play in helping investees understand and realise the benefits of 2X qualification. 2X Global will translate the findings into practical communications materials that investors can use to articulate this value, tailor their engagement with different types of investees and encourage companies, funds and financial institutions to deepen their gender-smart practices over time.