Amundi Private Equity Funds (Amundi PEF), a wholly-owned subsidiary of Amundi, has launched a new Diversified Infrastructure Strategy.
This new strategy is intended for institutional investors who do not have the in-house resources and experience required to invest directly in Infrastructure, using a diversified and scalable approach, and in particular, for those investors who prefer to invest through seasoned specialists, given the asset class’ increasing complexity. Through direct investments or a robust selection of third-party infrastructure funds, the strategy offers strong diversification both in terms of sectors and geographies, with a focus on Energy, Transport and Telecommunications, primarily core/core+ assets in Europe. The minimum ticket is EUR5 million and the target net Internal Rate of Return (IRR) is between 8 per cent and 10 per cent, with a recurring cash yield of between 4 per cent and 5 per cent.
Guy Lodewyckx, Head of Private Markets Multi-Management, says: “Based on our existing relationships with the world’s largest infrastructure funds combined with our expertise in managing dedicated infrastructure vehicles for large institutions, we are seeking to make the infrastructure market accessible to all institutional investors, whatever their size or experience in the asset class. We can now offer an innovative hybrid investment strategy that seeks to benefit from recurring potential income, with a competitive fee structure and an ESG approach that is fully integrated into the investment process.”
Amundi PEF, which manages the strategy and is a signatory of the Principles for Responsible Investment, applies extra-financial ESG (Environmental, Social, and Governance) criteria for selecting and managing assets. The objective is to select and invest in assets that support the financing of the energy transition and the fight against global warming. For investments in infrastructure assets that are linked to the energy transition, Amundi PEF draws on the expertise of Amundi Energy Transition– the joint venture between Amundi (60 per cent) and EDF (40 per cent), specialised in this type of investment.