i3 X Newcore Capital – Windows of opportunity: Why U.K pension funds should look at social – as well as economic – infrastructure

Our CEO, Hugo Llewelyn recently contributed to Institutional Investing in Infrastructure (i3)’s October issue – Windows of opportunity: Why U.K pension funds should look at social – as well as economic – infrastructure.

A survey by GLIL Infrastructure Partners revealed that 65% of U.K. pension fund leaders plan to increase infrastructure investments over the next year, primarily focusing on economic infrastructure like energy and water. However, there is a surprising lack of attention to social infrastructure, which encompasses critical services such as healthcare, education, and waste management.

Social infrastructure not only has the potential for strong financial returns but also delivers significant social and environmental benefits. Survey respondents indicated that positive impacts on local communities and the U.K. economy are major reasons for their interest in infrastructure investments.

Given demographic trends like an aging population and rising wealth inequality, the demand for social infrastructure services is likely to grow. Additionally, the financial strain on government and private equity increases the need for reliable funding for these essential services.

Investing in social infrastructure presents a compelling opportunity, especially for funds seeking sustainable and resilient portfolios. The article argues that pension funds should naturally gravitate towards social infrastructure without needing coercion from the government, as it aligns with both fiduciary responsibilities and broader social goals.

Read the full article here – https://lnkd.in/eTUUckxq