Download ATP infrastruktur Investeringer

Institutional Investor
investing in infrastructure
 Why invest in light rail.
 Different ways of
Investing in Infrastructure
 Long term interests
 Advantages of linking
ownership with project
development
 Risks
2
Pension funds are natural infrastructure owners
-
Returns match
long liabilities.
-
Stable returns
-
Risk adjusted
rewards
-
Inflation
protection
-
Diversification
3
Different investment styles and options
Investment: direct, co-invest, manager, listed
Entry: green field, growth and mature
Investment style: opportunistic, listed, short term PE,
long term PE, buy and hold
Value investors objectives: PE–short term optimisation,
current cash flow, inflation correlation
4
Incentives and investment horizon
5
PPP with long term ownership
PPP model if designed correctly focusing on different parties
incentives can give:
1. Disciplined evaluation of project economy.
2. Innovation in project design and construction.
3. Innovation in project expansion and the surrounding next works .
4. Innovation in operation and maintenance .
5. PPP savings – project cost, funding and timing,
6
Risks and influence on returns:
Risks that needs to be evaluated and has influence on returns:
-
Political risk
-
Frameworks conditions
-
”revenue” volatility
-
technology
-
Incentives and alignment (partners and managers)
7
why light rail ?
8