Schroders Greencoat gains FCA approval to launch UK’s first wealth-dedicated infrastructure LTAF

Schroders Greencoat, part of Schroders Capital, has received regulatory approval to launch the UK’s first energy transition infrastructure-focused Long-Term Asset Fund (LTAF) for wealth clients.

Schroders Greencoat, the specialist renewables and energy transition infrastructure manager of Schroders Capital, today announces it has received regulatory approval to launch a Global Energy Infrastructure Long-Term Asset Fund (LTAF), expanding Schroders Capital’s range of LTAFs available to the UK wealth market.

The launch will mark a significant milestone as the UK’s first energy transition infrastructure-focused LTAF available to wealth clients[1], responding to a growing demand for climate solutions. In 2024, Schroders Greencoat launched the first such LTAF for Defined Contribution (DC) clients.

The new LTAF will be a feeder fund into the Schroders Capital Semi-Liquid Energy Transition Fund, launched a year ago, which has a global investment remit and exposure to over 160 individual assets spanning large scale wind farms, solar parks and other infrastructure supporting the energy transition, such as green hydrogen, battery storage, district and industrial heating.

The LTAF will aim to give UK wealth clients exposure to assets that seek to deliver genuine diversification within their portfolio, through access to this fast-growing and essential sector.

Schroders Greencoat is one of the largest specialist renewable and energy transition infrastructure managers globally with a presence in the UK, Europe, US and Asia[2] and c.£9.3 billion assets under management[3].

This launch will build on Schroders Greencoat’s existing suite of products, which offer a wide range of investors access to its investment capabilities through its investment trusts, DC and wealth LTAFs, semi-liquid and closed-ended funds.

More broadly, the fund will build on Schroders Capital’s track record of providing innovative products focused on client needs. It follows the launch of the Schroders Capital Global Private Equity LTAF last year, the firm’s first UK Wealth market focused LTAF.

Phil Middleton, Head of UK Client Group, Schroders, said:

“Current market conditions present a favourable entry point for energy transition infrastructure investments and we’re seeing a wider set of investors wanting access to these opportunities.

“Again, Schroders Capital and Schroders Greencoat are at the forefront of delivering innovative solutions to meet investor needs. This fund will be the second in Schroders Capital’s LTAF range for UK Wealth and will complement Schroders Greencoat’s existing investment trust range, providing investors access to the platform’s best ideas which are globally diversified by technology and geography.”

Duncan Hale, Portfolio Manager, Schroders Greencoat, said:

“This launch will provide UK wealth investors access to critical renewables such as wind and solar assets, as well as newer parts of the market like green hydrogen, where Schroders Greencoat has been actively pursuing opportunities, now financing around a third of projects initially approved through the UK’s green hydrogen program.

“While real assets such as renewables are typically considered illiquid, our semi-liquid and LTAF funds strike a balance by providing regular and transparent access to liquidity, meeting the needs of the UK wealth investor base for flexibility. We’re pleased to further unlock access for a broader investor base, and channel new streams of essential capital towards decarbonising and electrifying our energy sources[4].”

For further information, please contact:

Rachael Dowers, Media Relations Lead, Private Markets | +44 207 658 2086 | rachael.dowers@schroders.com
Jessye Brandon, PR Manager | +44 207 658 3789 | jessye.brandon@schroders.com

To view the latest press releases from Schroders visit: Media Centre | Schroders global

About Schroders Greencoat

Schroders Greencoat LLP, formerly Greencoat Capital LLP, is a specialist manager dedicated to the renewable and energy transition infrastructure sector. With teams in London, Dublin, Frankfurt, Copenhagen, and Madrid, as well as in New York and Chicago, and around £9.3 billion under management*, Schroders Greencoat is one of the largest dedicated managers in Europe. It was founded in 2009 and currently has fund mandates with strategies investing into wind, solar, bioenergy and energy transition in the UK, Europe and the United States. In total, Schroders Greencoat manages over 379 renewable infrastructure assets with an aggregate net generation capacity of over 6.5 GW*.

For more information, please visit https://www.schrodersgreencoat.com.

* As of 30 June 2024.

Schroders Capital

Schroders Capital provides investors with access to a broad range of private market investment opportunities, portfolio building blocks and customised private market strategies. Its team focuses on delivering best-in-class, risk-adjusted returns and executing investments through a combination of direct investment capabilities and broader solutions in all private market asset classes, through comingled funds and customised private market mandates.

The team aims to achieve sustainable returns through a rigorous approach and in alignment with a culture characterised by performance, collaboration and integrity.

With $97.3 billion (£77.0 billion; €90.8 billion)* assets under management, Schroders Capital offers a diversified range of investment strategies, including real estate, private equity, secondaries, venture capital, infrastructure, securitised products and asset-based finance, private debt, insurance-linked securities and BlueOrchard (Impact Specialists).

*Assets under management as at 30 June 2024 (including non-fee earning dry powder and in-house cross holdings)

[1] According to Schroders Greencoat analysis

[2] Infrastructure Investor Rankings, 2024
[3] As at 30 June 2024

[4] According to Schroders Greencoat analysis

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Fund manager

Schroders Greencoat LLP

London, United Kingdom

Schroders Greencoat is a specialist investment manager dedicated to renewable infrastructure, with over £8.5 billion under management. We aim to provide strong risk-adjusted returns for our investors, while also delivering positive environmental outcomes. Founded in 2009, Schroders Greencoat has built a reputation for unwavering delivery of our investment propositions, as well as for innovation – our offerings have become the model for an entire industry sector. Our investments span the globe, with local expertise in the Europe, the UK and the US, and are managed across a range of publicly listed vehicles*, private market pooled funds, co-investment vehicles and Separate Managed Accounts. Renewable infrastructure is a multi-trillion dollar global sector that will grow by more than $100 billion a year over the next decade. Utilities, energy companies and infrastructure developers will build out the majority of this transition, but the scale of capital involved will require significant private financing. There exists a very large and growing pool of capital which is keen to own and operate these assets, but lacks the inhouse technical skills and sector expertise to manage the investments independently. Our purpose is to bridge this gap, by acting as a solution provider for investors, and providing the partnership, financial, technical and operational expertise to deliver secure incomes for our clients. Acquired by Schroders plc in 2022, Schroders Greencoat is the fourth pillar of the group's private markets investment business, Schroders Capital. Schroders Capital through Schroders Greencoat has the ambition to become a global leader in infrastructure and the alternative investment industry more broadly. * Schroders Greencoat is the investment manager for two listed vehicles, Greencoat UK Wind PLC and Greencoat Renewables PLC.

infrastructure