Despite the tough fundraising climate, many institutional investors remain optimistic towards the long term profitability of the infrastructure asset class. Investors will continue to be cautious over the short term, but with many investors such as Dow Chemical Company Pension Fund and Global Pension Plan – Global intending to commit further capital to infrastructure assets in 2010, the infrastructure fundraising market should improve.
Government Pension Plan – Global, the NOK 2383 billion Norwegian sovereign wealth fund, has announced plans to establish an environmental investment portfolio to include renewable energy, natural resources, clean technology and environmental services investments. Government Pension Plan intends to invest NOK 3.5 billion over a period of five years and will begin investing in 2010. The majority of the capital will be invested directly into environmental projects but the wealth fund will also consider third party infrastructure and natural resources vehicles as alternative routes to market. The new portfolio will be restricted to Norwegian and Scandinavian opportunities.
For more information on infrastructure investors, funds and fundraising, please click here to learn more about our Infrastructure Online service and the 2009 Preqin Infrastructure Review.