Legal & General Investment Management Real Assets (LGIM RA) is a division of Legal & General Investment Management (LGIM), one of Europe’s largest institutional asset managers and a major global investor. LGIM RA has assets under management of €40billion and is one of the largest private markets investment managers in the UK. LGIM RA actively invests in and manages assets across commercial, operational and residential property sectors, as well as infrastructure, real estate, corporate and alternative debt.
*Source: LGIM Real Assets. AUM data estimates as at 31 December 2022 (GAV, including crossholdings).
- LGIM Is An Active Player In The Energy Transition, With Investments Including Financing The World’s Largest Offshore Wind Farm.
- LGIM Deployed Over €550M In Infrastructure Debt In 2022.
- The L&G Ntr Clean Power (Europe) Fund Raised €390M In Committed Capital And Co-Investment Opportunity As Of April 2023.
Our vision and beliefs
L&G’s driving principle is one of inclusive capitalism – aiming to generate a positive return and a positive outcome for society. Over €1.6bn of L&G’s corporate capital has been invested in renewable energy infrastructure and clean energy technology companies. These investments began in 2015 with a 25% shareholding in renewable energy infrastructure equity manager, NTR. LGIM has partnered with NTR to offer a unique proposition which harnesses the stewardship of one of the world’s largest asset managers with the specialist expertise of a leading clean energy asset manager in Europe.
LGIM manages a diversified range of infrastructure debt investments, covering transport, energy, telecommunications, social and utilities sectors. We operate a buy-and-hold philosophy. Our central belief is that value is not simply measured in terms of upfront premium.
We have been managing private credit mandates since 2012, and the growth in our business since then is testament to the confidence our clients have placed in us. We believe that a proven and repeatable process with the right level of governance will continue to hold us in good stead as we grow.
Investment process and research
On the debt side, origination is led by the Investment Teams, sourcing deals through various means including (but not limited to) sponsors, borrowers, regulators, banks and fostered industry relationships. They have the ability to access markets directly and structure bilaterally to achieve value through price, structure and scale.
We operate a highly selective investment approach with a relentless focus on credit quality and structural protections underpinned by our dual track investment process. This process involves rigorous due diligence by the deal sourcing team on the one track and a simultaneously but independent credit ratings process on the other. Both teams present their due diligence at separate investment and credit committees.
For our infrastructure equity fund, on which we partner with NTR (see above), LGIM is responsible for all regulated activities including portfolio oversight, distribution and investment decision-making. NTR is responsible for asset origination, execution of transactions and strategic and technical asset management, applying its extensive experience and expertise to manage the assets and unlock additional value.
Views expressed are of LGIM as at June 2023. The information in this document (a) is for information purposes only and we are not soliciting any action based on it, and (b) is not a recommendation to buy or sell securities or pursue a particular investment strategy and (c) is not investment, legal, regulatory or tax advice. Legal & General Investment Management Limited. Registered in England and Wales No. 0209 1894. Registered Office: One Coleman Street, London, EC2R 5 AA. Authorised and regulated by the Financial Conduct Authority, No 119272.