Real assets

Mark Versey recently took part in a panel discussion organised by Professional Pensions to discuss opportunities and challenges in alternative investments.

Private debt proved its worth to institutional investors during a sustained period of benign market conditions. But what does the outlook look like in an altogether more challenging environment?

Lockdown measures imposed during the COVID-19 pandemic have highlighted the importance of digital connectivity. Tim Perry looks at the investment opportunities and challenges associated with European economies transitioning from copper to faster fibre broadband networks.

In the midst of the COVID-19 shock, Felix Mantz from Lincoln Pensions and Joachim Sudre from Aviva Investors explore how defined benefit pension schemes should plan their journey towards an end game and adopt a more holistic approach to risk.

The cyclicality of real estate creates opportunities for well-informed investors. However, determining where a market is in the cycle can be difficult, so we have developed a tool that can help investors overcome this challenge.

Cashflow-driven investing (CDI) is about meeting the outcome that matters most to pension schemes – being able to pay out liabilities as they fall due.

Like other major cities, London scores highly across a range of economic metrics. But while London’s continued capacity for renewal and attracting investment is undeniably impressive, it is often in stark contrast to other UK cities. Chris Urwin, Luke Layfield and Stanley Kwong explain what can be done to make those cities more attractive, and the respective roles investors and the public sector should play in that process.

With the methodology for calculating the UK Retail Prices Index set to change in 2030, we explore the implications for real assets.

While the coronavirus pandemic has devastated livelihoods, it also presents an opportunity for companies and policymakers to reinvent the world of work. The future is full of possibilities – but no easy answers.

Impact investment strategies will have an important role to play if the green credentials of the world’s stock of real estate is to be transformed, argue Gregor Bamert and Stanley Kwong.

While much of the world’s focus continues to be on tackling the COVID-19 pandemic, the climate crisis also requires urgent attention. The number of countries and companies supporting the move to a lower-carbon world is growing, but practical challenges remain. How can we build back better after COVID, and navigate to a cleaner, safer and sustainable world?

As part of our engagement efforts, every January we send a letter to the chairs of companies we invest in (and some we don’t, but still want to use our influence with) to set out our stewardship priorities for the year. Here, in full, is our 2021 letter.

The UK is the latest country to accelerate plans to develop hydrogen as part of its push to reach net zero. But it is not the first time hydrogen has attracted attention – it has been trumpeted by the scientific community as a possible wonder fuel for around a century. So, what’s changed now?

Darryl Murphy assesses the current state of the UK infrastructure market and the likely drivers of activity in 2021.

Souad Cherfouh, head of real estate investment strategy, and Jonathan Bayfield, head of UK and Irish real estate research, look at three themes that could characterise the real estate market in 2021 and beyond.

We select some of our key pieces of content on real asset markets in a dramatic year.

We select some of our key pieces of content in a year of unending drama.

There is a large gulf between the concept of ‘net zero’ and the practical policies that will deliver it. Jill Rutter, senior fellow at the Institute for Government, takes a hard look at the UK’s progress towards the 2050 target.

There is no lack of willingness among investors in real assets to play their part in helping countries reach net zero by 2050. But much needs to change – and quickly, as Laurence Monnier explains.

While the COVID-19 lockdown has highlighted the possibilities of home working, bringing people together in offices is still the best way to spur innovation and productivity, says Jonathan Bayfield.

The near-term disruption caused by the coronavirus has been testing for real estate borrowers seeking finance and originators. Gregor Bamert explains why new deals are still possible for those able to look through short-term uncertainty.

Pension schemes seeking alternatives to bonds may find amortising leases a compelling option, writes Luke Layfield.

Recent events have highlighted the importance of the environmental, social and governance characteristics of real asset investments – not only as part of COVID-19 recovery programmes, but also as a way of futureproofing portfolios.