AMP Capital has won mandates from Local Government Super (LGS) and Maritime Super to invest in its Community Infrastructure Fund (CommIF).
The funds will be used to acquire additional assets for CommIF. Last year, it completed three deals worth $525 million in enterprise value, which incorporates the value of the equity and debt. The deals included the Partnerships in Victoria Schools Project, water asset AquaTower and the South East Queensland Schools Public Private Partnership.
AMP Capital Social Infrastructure Investment Director Julie-Anne Mizzi said AMP Capital was delighted to be investing in social infrastructure on behalf of both organisations.
Ms Mizzi said:
"These mandate wins follow a strong 2013 for the AMP Capital Community Infrastructure Fund, which in addition to acquiring three assets was also awarded $100 million in mandates from institutional clients."
"Our clients are searching for investments that offer stable, long-term and diversified income streams from low-risk projects. Increasingly, they want to invest in projects that have a tangible community benefit, which is why we're seeing increased interest in CommIF."
LGS Chief Investment Officer Craig Turnbull added:
"LGS has a strong focus on Environmental, Social and Governance themes. Investing in CommIF therefore aligns with our overarching objective to pursue investments that are in the best interest of our members."
The AMP Capital Community Infrastructure Fund provides investors with the opportunity for stable, long-term returns through the investment in an unlisted portfolio of high quality, PPP-style social infrastructure assets in Australia and New Zealand. The fund focuses on social infrastructure PPP assets within education, water, health, justice, defence, community housing, recreational facilities, transport and other social infrastructure sectors where income from the assets is primarily derived from long-term, CPI-linked concession arrangements with government entities.
Maritime Super is an Australia-based superannuation fund that was established on 1 March 2009 as a result of the merger between two maritime industry super funds - the Stevedoring Employees Retirement Fund (SERF) and the Seafarers Retirement Fund (SRF).
Both the SRF and the SERF provided retirement security for maritime workers.
LGS manages over $7 billion in superannuation assets for around 90,000 members, including 60,000 employees working for local government or related employers throughout New South Wales and 30,000 former local government employees. x