POWERED BY MOMENTUM MEDIA
Investors flock to infrastructure debt fund
Institutional investors from around the globe have invested over US$300 million to complete the first close of AMP's Infrastructure Debt Fund II (IDF II).
The fund will invest in the subordinated debt of infrastructure assets in essential services such as water, gas, electricity and transportation in Europe, North America and Australia.
The portfolio will consist of investments in the subordinated debt of 10-15 companies headquartered in Organisation for Economic Development and Cooperation (OECD) countries.
AMP Capital global head of infrastructure Andrew Jones said the fund had made its first investment - a 50 million pounds subordinated loan to Heathrow Airport - and was gaining momentum among investors.
"Investors globally are seeking stable high-cash yield, defensive and predictable investments and that's why we've been so successful in attracting clients to IDF II," he said.
AMP Capital's first infrastructure debt fund closed to new investment in June 2012 with US$503 million from 30 global institutional investors.
AMP Capital chief executive international and head of global clients Anthony Fasso said the fund had attracted a number of new clients to the fund manager including one of South Korea's top insurance companies.
"The broad interest we've seen from investors in the US, Asia, Australia and Europe - including attracting our first Swiss client - is testament to the compelling investment opportunity IDF II offers," he said.
"This is also the first direct infrastructure fund that our business partner Mitsubishi UFJ Trust and Banking Corporation (MUTB) has marketed to their clients, with great success."
AUTHOR
Staff Writer
Money Management staff writers are writers who contribute to the website from time to time. If you would like to discuss the content contained within this article please contact us.
Recommended for you
The two funds have announced the signing of a non-binding MOU to explore a potential merger.
The board must shift its focus from managing inflation to stimulating the economy with the trimmed mean inflation figure edging closer to the 2.5 per cent target, economists have said.
ASIC chair Joe Longo says superannuation trustees must do more to protect members from misconduct and high-risk schemes.
Super fund mergers are rising, but poor planning during successor fund transfers has left members and employers exposed to serious risks.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
88.01 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
72.60 3 y p.a(%)
3
Global X GlobalX FANG+ ETF
44.46 3 y p.a(%)
4
Pengana High Conviction Equities B
39.12 3 y p.a(%)
5
Pengana High Conviction Equities A
39.05 3 y p.a(%)
