Generali Global Infrastructure launches two funds to support European recovery
Generali Global Infrastructure (GGI), a boutique focused on infrastructure debt and part of Generali Group’s multi- boutique asset management platform, has launched two infrastructure funds supporting the European recovery.
The funds aim to support the recovery of the European economies from the adverse impacts of Covid-19, through sustainable and resilient investments in infrastructure, and offer a flexible allocation between debt and equity investments.
The two funds – each of them with a target size between EUR400 million and EUR700 million – have been launched in October 2020 with an initial investment of EUR290 million by Generali Group, EUR145 million for each fund.
The investment strategies of the two funds are also accessible to institutional investors outside the Generali Group, looking for investments generating a positive impact and offering attractive and stable returns.
The GGI investment team - one of the pioneers in infrastructure debt investments at international level - selects brownfield and greenfield investments which it considers having a distinctive capacity to contribute to the recovery of the European economies as well as to the UN Sustainable Development Goals. Both funds are aligned with the Paris Agreement trajectory on climate.
The two funds represent a further step in the Generali Group’s definition of investment solutions supporting the recovery path of the European economies.
One fund is focused on energy transition, environment and green mobility, and the other one on digital transition and social infrastructure. The targeted geographies and sectors offer a very large range of investment opportunities and this allows GGI to build diversified portfolios and to be highly selective, focusing on the generation of financial and extra-financial performances.
The infrastructure sector globally generated $657 billion3 of investments in 2019 across debt and equity transactions, offering a large diversity of private investment opportunities across instruments, sectors and geographies.
Timothy Ryan, CEO of Generali Asset Management, says: “The European Green Deal implies a renovated effort to accelerate the environmental and social transition, generating long term positive impacts on the lives of citizens and businesses in Europe. Infrastructures contribution will be strategic in this development path, bringing strong social and economic benefits to society. The new GGI funds confirm the core attention of our Group to sustainable investments, driving capital towards high-quality, positive-impact projects."
Philippe Benaroya, CEO of Generali Global Infrastructure, says: “The current crisis represents an opportunity for governments to accelerate ambitious investments in the fields of energy and social transition, channeling capital to make our economies and societies more resilient and sustainable. Infrastructure is an established counter- cyclical asset class, and one of the few capable of federating public and private capital towards the achievements of long term positive financial and extra-financial impacts. This asset class is a major theme for investors looking for resilient investments, offering attractive returns in a low-rates environment.”