The AOP Global Listed Infrastructure Strategy is an AOP Capital and Delft Partners joint venture equities strategy.
Infrastructure companies are indispensable to sustainable growth and enjoy stable demand, growing profitability and provide above average yields to equity investors.
- Infrastructure equities provide yield and an inflation hedge with lower volatility than regular equities portfolios.
- Listed Infrastructure equities provides access to underlying cashflows with daily liquidity plus the transparency and disclosure mandated by global exchanges
Opportunities provided by:
- Renovation – existing infrastructure and government constraints provide opportunity.
- Reinvigoration – significant public and private investment secured for this specific use.
- Renewables – capitalizing on renewable trends and transitions.
AOP leverages on the team’s expertise to provide clients access to an actively managed portfolio of global listed infrastructure equities offering approx. 5% yield and inflation protection.
- Infrastructure equities: Yield + inflation protection.
- Liquidity and accessibility.
- Predictability: revenue, cashflows and dividends.
- Dividend yield: Approx. 5% on current portfolio.
- Lower Beta (c 0.8 vs global equities).
- Global diversification – all regions and over 10 sectors.
AOP runs a “quantamental” investment process, which combines a quantitative approach via a proprietary “Value, Momentum and Quality” (VMQ) screen with fundamental inputs on “Accounting analysis, Strategic position and Governance” (ASG).
Our ESG overlay focuses primarily on Governance. We will invest in a company where we believe “G” is sub-par, but improving. However, we will NOT invest in a cheap company with poor “G” and no evidence of improvement.