Salt has appointed Cohen & Steers to manage the investment portfolio.
The Fund’s investment objective is to exceed the total return of its benchmark, the FTSE Global Core Infrastructure 50/50 Index hedged in New Zealand dollars (after fees and expenses but before tax) on a rolling three-year basis.
The Fund utilises a balance of top-down industry sector research and bottom-up company-specific analysis to select investments in publicly traded infrastructure companies that are expected to provide the beneficial investment characteristics of private infrastructure ownership with the added features of liquidity, transparency, diversification and daily market pricing.
ESG analysis is an integral part of the investment process with distinct ESG factors relevant to each sector analysed in an effort to identify potential value and mitigate risks. Further insight is gained and positive change is driven through active engagement.
Benchmark - FTSE Global Core Infrastructure 50/50 Net Tax Index
Recommended investment time frame - 5 years
Inception date - 18 August 2021
Fund Size - $46 million
COHEN & STEERS
In 1986, Marty Cohen and Bob Steers set out to help investors capitalise on the emerging opportunity they saw in public REITs. They were convinced that listed real estate could open the market to investors, drive demand and make real estate a larger share of portfolios globally, while also offering opportunities to generate meaningful alpha. It was fertile ground for an active asset management business that continues to thrive today.
Through careful consideration, they have added to their investment capabilities, becoming the largest manager of preferred securities and establishing a global research platform for real estate, infrastructure and other listed real assets. Their focus is delivering superior investment performance, building around our core strengths in real assets and alternative income to meet the growing demand for yield, diversification and real returns.
Thuy Quynh Dang
Portfolio Manager, Global Infrastructure, Cohen & Steers
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Defining Listed Infrastructure
Cohen & Steers Universe
• 350 companies in 16 countries; focus list of 250
• Includes both developed and emerging markets
• Global market capitalization: $3.7 trillion
• We believe infrastructure assets provide essential public services that facilitate economic growth
• We focus on owners and operators of infrastructure assets
• We generally avoid cyclical subsectors such as engineering and construction, and oil and gas production
We screen for companies that exhibit key infrastructure characteristics
• Relatively predictable, often inflation-linked cash flows
• Largely regulated and monopolistic businesses
• High barriers to entry
Environmental, Social, Governance Factors are Key to the Strategy
Identify key ESG factors that impact shareholder value
Determine ESG scores for each company in investable universe
Integrate ESG scores into company valuation estimates
Encourage positive change
Cohen & Steers Infrastructure ESG Integration Framework
As an industry leader in real assets and alternative income, Cohen & Steers is focused on delivering superior risk- adjusted returns and income for clients. Committed to pursuing excellence that results in responsible investing practices. Their Infrastructure ESG Integration Framework can be read by clicking the button below.