Investing

Nuveen Infrastructure’s Glennmont Partners, a major clean energy infrastructure manager, on Thursday said it has raised 250 million euro through its energy transition enhanced credit II strategy, or ETEC II, based on a Luxembourg alternative fund.

The ETEC II fund is one of the new Reserved Alternative Investment Funds, or Raifs, that were officially registered in Luxembourg this month. 

“Capital markets are in complete disarray and we are detecting structural changes,” said Ewout van Schaick, head of multi assets at NN Investment Partners, talking to InvestmentOfficer.nl in a podcast interview. 

While industry’s investment losses are beginning to show, the strong performance from recent years makes institutional investors reluctant to change their investment course. “Not an easy situation,” says the chief of Europe’s biggest pension body.

Top market experts at Europe’s biggest fund manager, Amundi, do not believe that the upcoming elections in Italy will trigger much volatility in Italian bond markets, although a spike could present a buying opportunity. Italy’s parliamentary elections are scheduled for the end of this week, Sunday 25 September.

Central bank interest rate hikes seems to have had their desired effect, with signs pointing to the end of the very high inflation of late, but, according to three chief investment officers at M&G Investments, the world’s economy isn’t out of the doldrums yet, especially because of Russia’s ongoing war against Ukraine.

A reserved alternative investment fund registered in Luxembourg turns out to have played a central role in the 165 million euro financing of the Palazzo Marini, Bill Gates’ new six-star hotel in the centre of Rome, close to the Trevi fountain. The team that supported the deal from Luxembourg was at law firm Dentons, with European Capital Partners SA as AIFM.

In retrospect, we can say that central banks used the annual Jackson Hole symposium to revive their credibility as inflation fighters. This also applies to the ECB.

After yet another higher-than-expected inflation rate - we are now at 9.1 percent - and core inflation at a new record of 4.3 per cent, the ECB Governing Council on Thursday has adopted a record interest rate hike of 75 basis points.

Rising inflation, the tightening of monetary policy, Russia’s invasion of Ukraine, and the resulting risks to economic growth have caused sales of investments funds defined as Undertakings for Collective Investments for Transferable Securities, or Ucits, to turn negative in the second quarter, according to the European Fund and Asset Management Association, known as Efama.

Canada’s main pension fund, CPP Investments, has agreed to become a major shareholder in Universal Investment, a leading third-party Super ManCo in Luxembourg, by acquiring a significant stake in the firm from private equity and venture capital firm Montagu. The deal demonstrates that investors worldwide see further potential in Luxembourg’s growing asset services market.

Pictet Asset Management advises its clients to remain underweight in equities and maintained an overweight view on US Treasury bonds. In its latest market outlook, the Swiss-based firm said it reduced the risk in its portfolio by downgrading Chinese stocks to neutral.