Ronald Mourad Cohen
Ronald Cohen | |
|---|---|
| Born | Ronald Mourad Cohen August 1, 1945 Egypt |
| Occupation(s) | Entrepreneur, political leader |
| Years active | 1972–present |
| Known for | Father of British venture capital, social investment pioneer, chairman of The Portland Trust, Bridges Ventures, and Big Society Capital |
| Notable work | The Second Bounce of the Ball |
Sir Ronald Mourad Cohen (born 1 August 1945) is a British entrepreneur and political leader originally from Egypt. He currently holds the position of chairman at both The Portland Trust and Bridges Ventures. Often hailed as "the father of British venture capital", Cohen is also a trailblazer in the field of social investment.
Early life
Cohen was born in Egypt to Michael Mourad Cohen, a Syrian-Jewish banker, and Sonia Douek, who was British. In 1957, during President Nassar's crackdown on Jews, his family was forced to flee Egypt, losing all their possessions. They resettled in England, where his father established an import/export business despite considerable obstacles.
Although English was not his first language, Cohen distinguished himself academically at Orange Hill grammar school (now incorporated into Mill Hill County High School). Awarded a scholarship to Oxford University, he graduated from Exeter College with a degree in Philosophy, Politics, and Economics and served as President of the Oxford Union. Subsequently, he attended Harvard Business School, where he also participated in the rugby club.
Career
Following his studies at Harvard Business School, Cohen began his career as a management consultant with McKinsey & Company in both the UK and Italy. In 1972, together with two former classmates from business school, he co-founded Apax Partners, among the earliest venture capital firms in Britain. Although growth was gradual at first, the firm expanded significantly during the 1990s, ultimately becoming the largest venture capital company in the UK and recognized as one of three genuinely global firms in its sector. Apax invested startup capital in over 500 enterprises, including notable names such as AOL, Virgin Radio, Waterstone's, and PPL Therapeutics, famed for cloning Dolly the sheep. In 1996, Cohen played a key role in founding Easdaq, a technology-oriented stock exchange designed to serve as Europe's equivalent to the American NASDAQ. His contributions have been acknowledged with awards such as the Jubilee Award for services to Israeli business from Benjamin Netanyahu and the BVCA's Lifetime Achievement Award. Additionally, Cohen serves on the Harvard Board of Overseers and is a fellow of Exeter College, Oxford.
In 2002, alongside Jon Moulton, he became one of the first inductees into the Private Equity Hall of Fame at the British Venture Capital Association and Real Deals' Private Equity Awards.
Social investment
Appointed by the Treasury in 2000, Cohen took on the role of Chairman for the Social Investment Task Force (SITF). The SITF sought to apply entrepreneurial strategies to enhance both social and financial outcomes from social investments, focusing on economic regeneration and mobilizing private and institutional capital. Recommendations from SITF included introducing Community Investment Tax Relief (CITR), creating a community development venture capital fund, promoting transparency in bank lending practices, supporting charitable trusts' involvement in community finance, and founding the Community Development Finance Association (cdfa) to assist community development finance institutions (CDFIs).
In 2002, Cohen co-established Bridges Ventures and assumed its chairmanship. This firm specializes in sustainable growth investments that generate financial returns alongside social and environmental advantages. Bridges Ventures has launched eight funds—including Sustainable Growth Funds I–III, Sustainable Property Fund, CarePlaces Fund, Property Alternatives III, Social Entrepreneurs Fund, and Social Impact Bond Fund—managing close to £600 million. Its investments focus on businesses committed to regeneration or sustainability. Noteworthy successful exits include The Gym Group, The Office, Simply Switch, HS Atec, and Harlands of Hull.
Together with Sir Harry Solomon, Cohen co-founded the Portland Trust in 2003. This organization aims to foster private sector development within Palestine and alleviate poverty through entrepreneurial initiatives across Israel. The Portland Trust operates programs related to financial infrastructure development, housing projects, trade facilitation, investment promotion, and entrepreneurship across London, Tel Aviv, and Ramallah.
In 2005, Cohen chaired the Commission on Unclaimed Assets which proposed establishing a Social Investment Wholesale Bank designed to fund charitable endeavors through seed funding and loan guarantees.
In 2007 he co-founded Social Finance UK and became a non-executive director. This advisory body promotes growth in the UK's social investment market by facilitating access to capital and crafting interventions geared toward measurable social impact. Notably, Social Finance pioneered the concept of the social impact bond, an outcomes-based contract where public sector commissioners pay for quantifiable social improvements. In September 2010, it launched a pilot social impact bond with the Ministry of Justice aimed at reducing reoffending rates among short-term male inmates at HMP Peterborough. The six-year pilot involved support services from organizations including St. Giles Trust for approximately 3,000 prisoners. By July 2017, findings revealed a 9% reduction in reoffending—surpassing the target of 7.5%—resulting in investors earning just over 3% annually. Cohen also holds a board position with Social Finance US.
In 2010 Cohen led a review titled Social Investment: Ten Years On assessing SITF’s progress. The report underscored three pivotal elements shaping Britain's social investment landscape: establishing infrastructure such as the Social Investment Bank; developing financial instruments like social impact bonds; and engaging financial sectors through initiatives akin to the Community Reinvestment Act.
Big Society Capital
Since its inception in July 2011, Sir Ronald Cohen has held the position of Chairman at Big Society Capital, the United Kingdom's pioneering social investment bank. BSC’s mission is to stimulate expansion within the social investment sector by providing socially driven financial institutions with access to cost-effective funding. The organization mobilizes approximately £400 million sourced from dormant bank accounts alongside £200 million contributed by leading UK high street banks. Its inaugural investment of £1 million was directed to the Private Equity Foundation, which supports disadvantaged young people in gaining employment, education, or vocational training.
Charity
In January 2005, Cohen was appointed as a trustee of the British Museum. Additionally, he is a member of the executive committee at the International Institute of Strategic Studies.
Controversies
During Cohen’s tenure as chairman of Apax, the 2000 failure of the Apax-controlled British United Shoe Machinery pension scheme resulted in 544 employees losing their pensions. This collapse followed a corporate demerger and asset transfers between entities, with pension funds being relocated shortly before critical receivership and revaluation deadlines. Members of Parliament such as Edward Garnier, Patricia Hewitt, and Ashok Kumar sought investigations into the "enigmatic circumstances" surrounding these pension losses; however, no further inquiry was initiated.
In 2007, the GMB (trade union) held private equity firms responsible for the failure of 96 pension funds, associating Cohen with losses amounting to £81 million across Dexion, British United Shoe Machinery, and USM Texon.
Politics
Cohen ran as a Liberal Party candidate for Kensington North in 1974 and represented the party in the 1979 European elections for London West. He shifted allegiance to the Labour Party in 1996, supporting Tony Blair’s leadership. By 2001, Cohen ranked among Labour’s top 50 donors with a £100,000 contribution and by 2004 was listed as the fourth largest financial backer of the party, following prominent figures including Lord Sainsbury. In 2011, he was financially connected to a new Israeli political movement advocating electoral reform.
Personal
Cohen has been married three times: first to Carol Belmont (1972–1975), then Claire Enders (1983–1986), and subsequently in 1987 to Sharon Harel, daughter of Yossi Harel, commander of the Holocaust survivors' vessel Exodus. The couple has two children and resides in London.