As a specialized and recognized firm in alternative asset management, Altamar has access to the best infrastructure funds in both the primary and secondary markets. Through the underlying funds and major infrastructure operators, the infrastructure team has access to co-investment opportunities that allows it to directly participate in the assets.
Infrastructures are real assets or services which are considered essential for the transaction of a society or a company and comprise basic sectors such as a water and energy distribution, transport (ports, roads, airports, etc.), services (hospitals, residential, etc.) and telecommunications among others.
The infrastructure sector demands a permanent investment volume and needs USD 49,000 billion in private capital until 2030. This requirement calls for a contractual structure that guarantees the participation of private capital, for example through availability contracts, long term contracts and known demand, which gives rise to stable and predictable cash flow generation.
As a result, we find assets that have enviable economic characteristics from an investment point of view, such us:
These factors are the main reason why the investment in infrastructure has experienced considerable growth year after year, up by 90% since 2010.
At the same time, the volume of institutional market of infrastructure funds has gone from slightly less than $25,000MM in 2005, to approximately $370,000MM in 2016.
The reliability and stability offered by the sector’s assets make them an interesting investment, complementing alternatives such as private equity, real estate and venture capital.