From social wash to social value

Today, a handful of urban centres are pulling away from their rivals – creating more innovation, more growth and more jobs. Those changes have deep implications; understanding them and what they mean for local communities takes joined-up thinking.

In our regular update on drivers in real assets, we assess the impacts of a possible downturn in the euro zone. We touch on cash generation, the valuation outlook and the significance of security and ranking in the capital structure.

The rise of the knowledge economy has energised cities which have reinvented themselves as global knowledge capitals, of which London is a prime example.

With society facing many urgent and complex challenges, deciding who is best-placed to deliver solutions has become an emotive and often political subject. We assess whether there is a better way to utilise the skills and resources of the public, private and third sectors for the greater good.

Hardly a day goes by without at least one negative headline bemoaning the impact of disruption in retail markets on high streets and shopping centres. While this is true in the US and the UK, Chris Urwin examines whether European high streets will face a similar threat.

While the shape of the UK’s future relationship with its European neighbours is still unclear, the question of how to finance infrastructure fit for the 21st century is equally pressing, argues Darryl Murphy.

In our regular update on drivers in real assets we assess how real assets could appreciate amid lower long-term rates, we look at how lower bond yields are likely to extend the real estate cycle in the UK, but note that lending at senior level has reduced interest rate sensitivity.

Assessing ESG risks within real asset investments is far from straightforward. Mark Versey and Stanley Kwong use five case studies to illustrate the balance of ESG risk factors that affects investment decision-making, beyond simply trying to be ‘green’.

Jonathan Bayfield and Vivienne Bolla discuss the outlook for UK and European real estate.

The role of a city is vastly different to fifty years ago. Chris Urwin, Director of Research – Real Assets, and Vivienne Bolla, Research Analyst – Real Assets explain why talent, clusters and scale are key factors in determining which cities – and therefore European office markets – will thrive in the years ahead.

Analysts Jonathan Bayfield and Vivienne Bolla discuss the outlook for UK and European real estate.

Physical assets, particularly infrastructure and real estate, have a critical role to play in facilitating the transition towards a more sustainable economy and a greener world. As ultimate asset owners, investors are deeply engaged in the issues, and incorporating environmental, social and governance (ESG) considerations is a fundamental part of an asset manager’s duty to their clients.