Infrastructure solutions
Infrastructure VI
- Open for subscription Prospectus (German) Capital commitment (German)
Using a co-investment approach, the investment group invests in global brownfield investments that generate stable cash flows irrespective of economic cycles.
| Structure |
Closed-End |
| Manager |
GCM Grosvenor |
| First closing |
Probably H1 2023 |
| Final closing | 1 year after first closing |
Advantages
Target portfolio
Diversification
Manager
J curve
Product data
- Investment philosophy: The investment philosophy and service are tailored to the needs of Swiss pension funds.
- Veto right: We represent your interests and take on monitoring, including thanks to our veto right.
- Successful co-investment approach: The Zurich Investment Foundation has successfully applied a co-investment approach since 2013 for infrastructure investments.
Diversification
Target allocation of instruments
in percent
- Main focus on global co-investments of already operational brownfield infrastructure investments
- Core/core+ investments with conservative characteristics for greater stability
- Addition of secondary funds and primary funds possible
- Good diversification across countries, sectors and sponsors
What is a co-investment?
Co-investment refers to a direct investment in a company alongside an infrastructure fund. The infrastructure fund normally holds the majority and the co-investment investor a minority stake in the infrastructure investment.
What are brownfield investments?
Brownfield describes infrastructure investments that already exist and that are operational. The returns from brownfield infrastructure investments generally result in particular from ongoing cash flow from operational activities and only to a small extent from capital gains. Infrastructure investments that are still in the set-up stage are referred to as greenfield. Returns from greenfield infrastructure investments essentially result from capital gains.
What sets GCM Grosvenor apart?
- GCM Grosvenor is one of the world's largest and most strongly diversified asset management companies in the field of alternative investments
- Experienced, 20-strong infrastructure team
- 8 branches worldwide and investment team with a broad network
- Experience in infrastructure since 2003
Access to the most attractive opportunities
- Global presence enables access to robust deal flow and so the choice of the best investment opportunities.
- Thanks to good relationships with sponsors, access to high-quality deals is enabled.
- ESG criteria are firmly anchored in the investment process with an additional exclusion list.
What is a J curve?
The J curve describes the return performance of a private equity or infrastructure investment. At the start, a negative result is achieved due to initial costs. A positive return is not realized until later when the investment may grow in value.
What leads to a reduction in the J curve?
- Rapid capital investment thanks to co-investment approach (quicker than with fund-of-funds solutions)
- Management fees model based on NAV (not on committed capital)
- Focus on brownfield investments with immediate ongoing return
| Name | Zurich investment foundation Infrastructure VI |
| Legal structure | Investment foundation under Swiss law |
| Investor group | Pension funds with Swiss domicile |
| Currency | USD, unhedged (currencies are not hedged) |
| Auditor | PricewaterhouseCoopers (PwC) |
| Seed capital |
250 million USD |
| First closing | Planned: first half-year 2023 |
| Final closing | 12 months after the first closing |
| Investment period | 3 years after the first subscription period with optional extension by 1 year |
| Term | 12 years after first closing, with optional extension three times by one year |
| Management fee | 1% on the net asset value (not on committed capital) |
| Performance fee | 8% |
| Hurdle | 5% (with full catch-up and clawback) |
| Cap | 10% |
| Expected Total Expense Ratio | 1,5-2,5% (dependent on performance fee) |
Infrastructure Evergreen
- Open for subscription Prospectus (German) Capital commitment (German)
The investment group invests mainly in global co-investments with a focus on core/core+ brownfield investments.
| Structure |
Open-End |
| Manager |
GCM Grosvenor |
| First closing |
Probably Q2/Q3 2023 |
Advantages
Target portfolio
Diversification
Manager
J curve
Product data
- Investment philosophy: The investment philosophy and service are tailored to the needs of Swiss pension funds.
- Veto right: We represent your interests and take on monitoring, including thanks to our veto right.
- Successful co-investment approach: The Zurich Investment Foundation has successfully applied a co-investment approach since 2013 for infrastructure investments.
Diversification
Target allocation of instruments
in percent
- Main focus on global co-investments of already operational brownfield infrastructure investments
- Core/core+ investments with conservative characteristics for greater stability
- Addition of secondary funds and primary funds possible
- Good diversification across countries, sectors and sponsors
What is a co-investment?
Co-investment refers to a direct investment in a company alongside an infrastructure fund. The infrastructure fund normally holds the majority and the co-investment investor a minority stake in the infrastructure investment.
What are brownfield investments?
Brownfield describes infrastructure investments that already exist and that are operational. The returns from brownfield infrastructure investments generally result in particular from ongoing cash flow from operational activities and only to a small extent from capital gains. Infrastructure investments that are still in the set-up stage are referred to as greenfield. Returns from greenfield infrastructure investments essentially result from capital gains.
What sets GCM Grosvenor apart?
- GCM Grosvenor is one of the world's largest and most strongly diversified asset management companies in the field of alternative investments
- Experienced, 20-strong infrastructure team
- 8 branches worldwide and investment team with a broad network
- Experience in infrastructure since 2003
Access to the most attractive opportunities
- Global presence enables access to robust deal flow and so the choice of the best investment opportunities.
- Thanks to good relationships with sponsors, access to high-quality deals is enabled.
- ESG criteria are firmly anchored in the investment process with an additional exclusion list.
What is a J curve?
The J curve describes the return performance of a private equity or infrastructure investment. At the start, a negative result is achieved due to initial costs. A positive return is not realized until later when the investment may grow in value.
What leads to a reduction in the J curve?
- Rapid capital investment thanks to co-investment approach (quicker than with fund-of-funds solutions)
- Management fees model based on NAV (not on committed capital)
- Focus on brownfield investments with immediate ongoing return
| Name | Zurich investment foundation Infrastructure Evergreen |
| Legal structure | Investment foundation under Swiss law |
| Investor group | Pension funds with Swiss domicile |
| Currency | USD, unhedged (currencies are not hedged) |
| Auditor | PricewaterhouseCoopers (PwC) |
| Seed capital | 125 million USD |
| First closing | Planned: first half-year 2023 |
| Investment period | 4-year initial portfolio build-up (after first closing) |
| Management fee | 1% on the net asset value (not on committed capital) |
| Performance fee | 8% |
| Hurdle | 7,5% |
| Expected Total Expense Ratio | 1,5-3% (dependent on performance fee) |
Redemption
Redemption requests must be submitted at the end of each year, for the first time as of 31.12.2025. Repayment generally within 2 years (with 2-year extension option if required).
Details on the redemption and repayment modalities can be found in the Prospectus (German).
Infrastructure V
- Open for subscription Prospectus (German) Capital commitment (German)
The investment group invests in global brownfield investments and pursues a co-investment approach with the addition of direct investments, primary funds and secondary transactions.
| Structure |
Closed-End |
| Manager |
CBRE Investment Management |
| First closing | 03.01.2023 |
| Final closing | 1 year after first closing |
Advantages
Target portfolio
Diversification
Manager
J curve
Product data
- Investment philosophy: The investment philosophy and service are tailored to the needs of Swiss pension funds.
- Veto right: We represent your interests and take on monitoring, including thanks to our veto right.
- Successful co-investment approach: The Zurich Investment Foundation has successfully applied a co-investment approach since 2013 for infrastructure investments.
Diversification
Target allocation of instruments
in percent
- Main focus on global co-investments of already operational brownfield infrastructure investments
- Core/core+ investments with conservative characteristics for greater stability
- Addition of secondary funds and primary funds possible
- Good diversification across countries, sectors and sponsors
What is a co-investment?
Co-investment refers to a direct investment in a company alongside an infrastructure fund. The infrastructure fund normally holds the majority and the co-investment investor a minority stake in the infrastructure investment.
What are brownfield investments?
Brownfield describes infrastructure investments that already exist and that are operational. The returns from brownfield infrastructure investments generally result in particular from ongoing cash flow from operational activities and only to a small extent from capital gains. Infrastructure investments that are still in the set-up stage are referred to as greenfield. Returns from greenfield infrastructure investments essentially result from capital gains.
What sets CBRE Investment Management apart?
- CBRE Investment Management is an asset management company with global operations and a focus on global infrastructure investments
- Experienced team with over 30 investment specialists
- It has successfully managed dedicated infrastructure mandates since 2010
- ESG criteria are a permanent element of the investment process. In addition, certain sectors are explicitly excluded by Zurich Invest Ltd.
Access to the most attractive opportunities
- Global presence enables access to robust deal flow and so the choice of the best investment opportunities.
- Thanks to good relationships with sponsors, access to high-quality deals is enabled.
- ESG criteria are firmly anchored in the investment process with an additional exclusion list.
What is a J curve?
The J curve describes the return performance of a private equity or infrastructure investment. At the start, a negative result is achieved due to initial costs. A positive return is not realized until later when the investment may grow in value.
What leads to a reduction in the J curve?
- Rapid capital investment thanks to co-investment approach (quicker than with fund-of-funds solutions)
- Management fees model based on NAV (not on committed capital)
- Focus on brownfield investments with immediate ongoing return
| Name | Zurich investment foundation Infrastructure V |
| Legal structure | Investment foundation under Swiss law |
| Investor group | Pension funds with Swiss domicile |
| Currency | USD, unhedged (currencies are not hedged) |
| Auditor | PricewaterhouseCoopers (PwC) |
| Seed capital | 150 million USD |
| First closing | Planned: Q4 2022 |
| Final closing | 12 months after the first closing |
| Investment period | 3 years after the first subscription period with optional extension by 1 year |
| Term | 12 years after first closing, with optional extension three times by one year |
| Management fee | 1% on the net asset value (not on committed capital) |
| Performance fee | 8% |
| Hurdle | 6% (with full catch- up and claw back) |
| Cap | 12% |
| Expected Total Expense Ratio | 2-3% (dependent on performance fee) |
Infrastructure programs already launched
| Infrastructure IV | Product information |
| Infrastructure III | Performance |
| Infrastructure II | Performance |
| Infrastructure I | Performance |
Would you like a consultation?
We will be happy to help.
Markus Binder
Head of Institutional Customers
Hans Baumann
Customer Advisor Institutional Customers
Oana Ardelean
Customer Advisor Institutional Customers
Marcel Wüthrich
Customer Advisor Institutional Customers
Thomas Sonderegger
Customer Advisor Institutional Customers
Peter Bezak
Economist and Investment Expert
