Border to Coast Pensions Partnership has committed its final investments in its initial three-year Private Markets programme, which brings the value of the project to £5.7bn.
The pension pool completed the last tranche of its programme by investing £1.5bn of new commitments into infrastructure (£307m), private credit (915m), and private equity funds (£232m).
The programme was launched in 2019 and aims to secure cost-effective access to private markets and enhance long-term returns on behalf of its Local Government Pension Scheme (LGPS) partner funds.
According to Border to Coast, the programme has delivered a reduction in fees of around 24% while providing access to a wide range of investments.
Mark Lyon, head of internal management at Border to Coast, said: “The success of our Private Markets programme is a prime example of the benefits pooling offers. It has delivered cost-effective access to investments that our partner funds in the LGPS may not have otherwise been able to access, and which offer the potential for attractive long-term, risk adjusted returns.”
In total, the programme invested into 61 funds, while embedding environmental, social, and governance considerations into its investment process.
It also made three co-investment deals including John Laing Group (£60m commitment), Vertical Bridge real estate investment trust ($68 commitment), and Greencoat Capital LLP (£40m commitment).
“With all £5.7bn of assets committed within our first programme, we are now looking ahead to the opportunities we can pursue as part of our second programme – which included the innovative Climate Opportunities proposition,” Lyon added.
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