The German Federal and State Pension Fund (VBL) has successfully awarded two mandates for European infrastructure debt totaling €1.5 billion. The mandates, each worth €750 million, were awarded to Allianz Global Investors (AllianzGI) and Global Infrastructure Partners (GIP, part of BlackRock). The portfolios are currently being developed. Through these mandates, VBL can actively and sustainably support European transformation and growth sectors. It is thus specifically promoting the expansion, diversification, and modernization of infrastructure in Europe.
“With these mandates, we are strengthening our position as a responsible, long-term investor in the European infrastructure market. We are thereby expanding our portfolio with an additional asset class with an attractive risk-return profile,” explains Stefan Schütte, Head of Fixed Income & Private Debt at VBL, regarding the commitment. “With Allianz Global Investors and Global Infrastructure Partners, we have two strong partners with extensive expertise and global reach at our side,” Schütte continues.
The selection criteria for the asset managers for the mandates included in-depth expertise in lending to infrastructure projects, as well as ESG integration, transparency standards, and a proven track record in implementing sustainable investment strategies. Incorporating sustainability aspects into all investments is an essential component of VBL’s investment policy.
AllianzGI will build a broadly diversified loan portfolio focused on key future themes such as the energy transition, digital transformation, communications, and transportation, with a primary focus on investment-grade projects. The mandate with GIP focuses on investments in the energy and power, digitalization, transportation, water, and waste management sectors in Europe. Here, too, the focus is on investment-grade projects.
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