Aviva Investors and PIP to jointly launch a solar power fund

UK Pensions Infrastructure Platform (PIP) and Aviva Investors have agreed to jointly develop a fund to invest in solar power assets.According to sources, the new fund will be managed by Aviva in partnership with PIP, on a similar model to its £350 million (US$542.3 million) vehicle investing in PPP projects, run by Dalmore Capital.Specifically, the fund will be managed by Ian Berry’s infrastructure team at Aviva Investors. This team has already invested £350 million (US$542.3 million) in solar assets since 2012.The solar fund, which is expected to begin fundraising next month, will have an initial target size of £250 million (US$387.4 million).Aviva Investors head of infrastructure Ian Berry commented:

“Our investment proposition in infrastructure responds to our clients’ need for outcome-oriented solutions, offering a secure income alternative that can provide attractive risk-adjusted returns in projects that are unleveraged, long-term and inflation-linked – all of which underpin this new fund.”“Today’s announcement marks the continued and successful growth of the PiP and we remain committed to this project.”

PIP chief executive Mike Weston stated:

“PIP remains committed to making infrastructure work for pension funds of all sizes, offering investors a low-risk, long-term investment that provides inflation-linked cash flows. We are particularly pleased to be working with Aviva Investors to launch this fund and to be able to put their expertise in this area to work for pension schemes.”