Our approach

A distinctive investment process.

Using our unlevered approach, we search for whole projects to acquire to generate low-to-medium risk predictable cash flows. Wind farms, solar energy generators and infrastructure leases are all on our radar. Our process enables us to originate deals which may need more flexible funding or a bespoke approach. By avoiding competition, we can achieve attractive pricing and generate long-term income with low economic risk.

Benefits

As infrastructure providers offer essential services, they can be insulated from the most extreme market cycles.

Stable cash flows

Revenues tend to be fully or partially regulated and/or could be structured as lease payments, for greater certainty.

Higher yields

The unlevered approach, which involves taking full control of a project, means we can invest in off-market transactions, generating higher risk-adjusted returns.

Efficient deployment

We target rapid deal execution, and have a robust and sustainable pipeline. By focusing on a small number of sectors and often working with the same counterparties, our deal pipeline has opportunities with real prospects of success.

Key risks

Investment risk

The value of an investment and any income from it can go down as well as up. Investors may not get back the original amount invested.

Illiquidity risk

Where funds are invested in infrastructure, investors may not be able to redeem any units in the fund when they want because infrastructure assets may not always be readily saleable. If this is the case we may defer a request to redeem units.

Valuation risk

Certain assets held in the fund could, by nature, be hard to value or to sell at a desired time or at a price considered to be fair (especially in large quantities), and as a result their prices could be very volatile.

Regulatory shifts

The frameworks for managing essential infrastructure services can change.

We focus on areas where an unlevered approach provides an enhanced risk/return profile over conventional debt/equity structures. Limited competition allows for appealing returns.
Ian Berry, Head of Infrastructure Equity

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RA19/0008/05012020