In this final blog in our series on our private markets strategy, we will look at some of the most compelling investment opportunities in Private Markets which currently advance in our investment pipeline. How to identify and exploit long-term megatrends in Real Assets? Why focus on the unicorns of Europe?
Want to know more about these and other compelling investment opportunities?
With rising valuations and compressed yields we will put more emphasis on development of new assets in so called “build-to-core” strategies relative to fully operational income generating core assets. The attractiveness of development built-to-core strategy is that you can harvest a development risk premium and also benefit from attractive valuations once the assets are fully operational. We have built long term relations with investment partners who have multi-decade experience in developing and operating assets within their respective niche segments. The quality, experience and prudent investment process of our partners mitigate the development risk substantially. We also emphasize on segments which are supported by long term megatrends such as the energy transition, communication, healthy food and ecommerce.
A key attention point is capital deployment. Developing assets up to the point that these are fully operational takes time. We have therefore prioritized on secondaries and co-investments in our investment pipeline. We also have prioritized on primary investment opportunities with above average capital deployment pace.