POWERED BY MOMENTUM MEDIA
IFM signs $19bn MoU with UK government
IFM Investors, the global institutional asset manager owned by superannuation funds, has signed a memorandum of understanding (MoU) with the UK government to invest £10 billion ($19 billion) by 2027.
The deal is between IFM and the UK’s Department for Business and Trade and will drive IFM’s investment in the UK across large-scale infrastructure and energy transition projects as well as provide greater understanding of the UK government’s policy priorities.
It has already made investments in major UK toll roads, utilities, and airports and provided loans to UK-based infrastructure and energy transition businesses.
IFM said it reflects the desire of Australia’s super funds to invest in the UK, highlighted by AustralianSuper and Aware Super both opening offices in London while IFM has operated an office there since 2006.
Last month, Aware Super chief investment officer Damien Webb met with the Lord Mayor of the City of London to discuss how the UK’s pensions can invest in private capital.
IFM Investors chief executive David Neal said: “Australia’s ‘super funds’ system can be a trusted long-term partner with the United Kingdom. We’re proud to sign this memorandum of understanding with the UK government, which is a signal of the confidence IFM and Australian super funds have in the UK as a place to invest.
“Our presence in the UK continues to grow and we look forward to working closely with the government to drive investment into large-scale infrastructure and energy transition projects across equity and debt funding.
“Partnerships between governments and long-term investors are necessary to unlock the potential of pension funds to invest to help mitigate system-level risks such as climate change.”
UK Business & Trade Secretary Kemi Badenoch added: “This £10 billion commitment from IFM Investors is a very important investment for the UK’s innovative energy and infrastructure sectors.
“The increasing flows of new capital into our country, combined with the forthcoming Global Investment Summit, show how the UK is fast becoming the most exciting and innovative place in the world to invest.”
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
Recommended for you
While not having a strategic asset allocation might be ‘uncomfortable’ for some investors, the Future Fund believes its unique investment approach helps the fund capture long-term value ahead of the curve.
The sovereign wealth fund grew $11.5 billion in the March quarter, according to its latest portfolio update, having previously voiced caution about inflation’s downward trajectory.
The property group, owned by industry super fund Aware Super, has announced two new projects with a total construction value of $320 million that will add more than 700 homes to Melbourne’s rental market.
While institutional investors, including super funds, unanimously acknowledge the energy transition as a significant challenge, their perspectives on the extent of their involvement in addressing the substantial capital requirements vary widely.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI First Close USD
66.99 3 y p.a(%)
2
Hills International
59.27 3 y p.a(%)
3
Acadian Global Equity Long Short Class A
32.82 3 y p.a(%)
4
CFS FC Acadian Global Equity Long Short
32.44 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
32.01 3 y p.a(%)
Add new comment