New York Life Investments has raised $1.1bn (€950m) in a common share offering for a new global listed infrastructure fund.
The MainStay CBRE Global Infrastructure Megatrends Fund will form part of its MainStay series of mutual funds and will be sub-advised by CBRE Investment Management, which is already sub-adviser to two other MainStay funds targeting infrastructure and real estate, respectively.
While the MainStay CBRE Global Infrastructure Fund has already been investing in global listed infrastructure markets since 2013, the new vehicle will focus on the three “megatrends” of decarbonisation, digital transformation and asset modernisation.
The closed-ended fund, which is now trading on the New York Stock Exchange, will invest primarily in income-producing equity securities issued by infrastructure companies.
“We are excited to build upon our existing partnership with CBRE Investment Management, as their team’s experience investing in listed infrastructure and real assets makes them an ideal sub-adviser for the fund,” said Kirk Lehneis, president of the fund and chief operating officer at New York Life Investment Management.
“As global policy supports increased infrastructure investment and historically attractive valuations continue to drive growth potential in the sector, we believe global listed infrastructure has the potential to offer attractive income in client portfolios.”
The portfolio will be managed daily by CBRE Investment Management’s global listed infrastructure team, led by CIO of listed infrastructure Jeremy Anagnos and including CIO of listed real assets strategies Joseph Smith, and infrastructure portfolio managers Hinds Howard and Dan Foley.
The listed real assets arm of CBRE Investment Management had previously been known as CBRE Clarion Securities until a corporate rebranding last month.
“With infrastructure entering what we believe to be an investment supercycle, we are thrilled to once again partner with New York Life Investments to offer investors the opportunity to gain exposure to the sector’s long-term investment tailwinds,” said Anagnos.
“We believe decarbonisation, digital transformation and asset modernisation are three core infrastructure megatrends that are not just accelerating across the globe today but that have the potential to drive an investment opportunity that may last for years.”
