A consortium of five Swiss pension funds is investing CHF625m in an Avadis renewable energy infrastructure fund.
The Avadis Clean Energy Infrastructure fund has received the capital commitment from the consortium comprising the Pensionskasse for the Swiss canton of Zurich (BVK), the Pensionskasse of the retailer Migros, the pension fund for the employees of the Aargau canton, the Pesnionskasse of the Canton of Solothurn and the Pensionskasse for the employees of the Canton of Lucerne.
Avadis Clean Energy Infrastructure will invest in energy generation systems such as wind or solar parks, infrastructure for energy supply, or systems to improve energy efficiency.
Aquila Capital, which specialises in investments in real assets, runs the fund which is expected to make its first st investments in Europe in the second quarter of the year.
Thomas R Schönbächler, CEO of BVK, said that the pension fund is “pleased that the investments begin soon.” BVK has created a new plan to increase allocations in equities, global real estate and infrastructure.
Christoph Ryter, managing director of Migros Pensionskasse, said: “We want to work [with these types of investments] to make a positive and long-term contribution to the environment and to achieve returns to cover the benefits [to be paid by] the pension fund.”
As previously reported, Migros Pensionskasse expects to increase its asset allocation to real assets by seven percentage points to 37% this year.
For Jan Sohnrey, managing director of Aargauische Pensionskasse, investments in renewable energies are a “perfect complement” to the existing portfolio of allocations in infrastructure.
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