Schroders Greencoat builds on renewable energy demand with launch of semi-liquid energy transition fund

Schroders Greencoat, the specialist renewables and energy transition infrastructure manager of Schroders Capital, today announces the launch of the Schroders Capital Semi-Liquid Energy Transition Fund, the latest addition to its innovative fund range which also addresses clients’ growing demand for energy transition investment solutions. 

This is the latest addition to Schroders Capital’s expanding suite of semi-liquid funds aimed at boosting our clients’ access to both private assets solutions which offer new and diversifying return streams, as well as energy transition investment solutions.

The semi-liquid structure will enable Schroders Greencoat to invest in illiquid infrastructure assets with a long-term perspective, while offering greater flexibility and operational simplicity to investors. 

Drawing on the extensive expertise of Schroders Greencoat, which spans over a decade in the renewable and energy transition infrastructure sector, the actively managed fund, categorised as Article 9 under SFDR regulations^[1], will deploy capital into various assets supporting the energy transition.

Renewable energy generation is the backbone of the energy transition, and the fund will make investments into large scale wind farms and solar parks. It will also target other infrastructure that is supporting the energy transition, such as the clean hydrogen, battery storage, district heating, charging infrastructure, power grids and carbon capture sectors.

The fund will strategically deploy capital across diverse technologies and project stages globally with a specific focus on the US and Europe.

The fund aims to provide risk-adjusted returns with a gross return target greater than 10%.

Duncan Hale, Portfolio Manager at Schroders Greencoat, commented:

“The energy transition represents one of the largest and most relevant investment themes impacting clients’ portfolios and, as a result, it’s an exciting and attractive time to be accessing these types of investments. This fund highlights our commitment to expanding access to private assets and generating positive returns for our clients through directly allocating to energy transition infrastructure.

“Achieving net zero by 2050 requires significant change and investment into energy infrastructure. This offers a great opportunity for investors to benefit from an innovative fund structure which supports their ability to access energy transition assets that can not only offer attractive returns, but also take advantage of a risk profile which delivers strong diversification characteristics for investors’ portfolios.

“We are proud to be contributing to this evolution with the Semi Liquid Energy Transition Fund. By building on the successful track record of Schroders Greencoat and its decade of experience, we are confident in our ability to deliver value to our investors while supporting the energy transition revolution.”

This launch marks Schroders Capital’s first infrastructure and sixth semi-liquid fund, further diversifying its strong portfolio across private equity, venture capital, real estate, and impact investing.  

With an AUM of $1.4 billion as of 30 June 2023, Schroders Capital's semi-liquid range provides investors with diverse investment opportunities and a pathway to sustainable, long-term growth.

Funds within this range include Global Private Equity, Circular Economy Private Plus, Global Innovation Private Plus and the Global Real Estate Total Return, which was launched in December 2022.

For further information, please contact:

Note to Editors

To view the latest press releases from Schroders visit: http://ir.schroders.com/media

The Schroders Capital Semi-Liquid Energy Transition Fund is registered for sale in the following jurisdictions: Austria, Belgium, Bulgaria, Denmark, Finland, France, Germany, Greece, Iceland, Ireland, Italy, Luxembourg, Netherlands, Norway, Portugal, Singapore, Sweden, and the UK.

Schroders Capital

Schroders Capital provides investors with access to a broad range of private asset investment opportunities, portfolio building blocks and customised private asset strategies. Its team focuses on delivering best-in-class, risk-adjusted returns and executing investments through a combination of direct investment capabilities and broader solutions in all private market asset classes, through comingled funds and customised private asset mandates.

The team aims to achieve sustainable returns through a rigorous approach and in alignment with a culture characterised by performance, collaboration and integrity.  

With $86.7 billion (£68.2 billion; €79.5 billion)* assets under management, Schroders Capital offers a diversified range of investment strategies, including real estate, private equity, secondaries, venture capital, infrastructure, securitised products and asset-based finance, private debt, insurance-linked securities and BlueOrchard (Impact Specialists). 

*Assets under management as at 30 June 2023 (including non-fee earning dry powder and in-house cross holdings)

About Schroders Greencoat

Schroders Greencoat LLP, formerly Greencoat Capital LLP, is a specialist manager dedicated to the renewable energy infrastructure sector. With teams in London, Dublin, Frankfurt, Amsterdam, Copenhagen, and Madrid, as well as in New York and Chicago, and over $11 billion under management*, Schroders Greencoat is one of the largest dedicated managers in Europe. It was founded in 2009 and currently has fund mandates with strategies investing into wind, solar, bioenergy and renewable heat in the UK, Europe and the United States. In total, the company manages renewable infrastructure assets with an aggregate net generation capacity of 6 GW*.

For more information, please visit https://www.schrodersgreencoat.com.

*as of 30th September 2023

Schroders plc

Schroders is a global investment management firm with £726.1 billion (€846.1 billion; $923.1 billion) assets under management, as at 30 June 2023. Schroders continues to deliver strong financial results in ever challenging market conditions, with a market capitalisation of circa £7 billion and over 6,100 employees across 38 locations. Established in 1804, the founding family remains a core shareholder, holding approximately 44% of Schroders’ shares.

Schroders has benefited from a diverse business model by geography, asset class and client type. It offers innovative products and solutions across four core growing business areas; asset management, solutions, Schroders Capital (private markets) and wealth management. Clients include insurance companies, pension schemes, sovereign wealth funds, high net worth individuals and foundations. Schroders also manages assets for end clients as part of its relationships with distributors, financial advisers and online platforms.  

Schroders aims to provide excellent investment performance to clients through active management. It also channels capital into sustainable and durable businesses to accelerate positive change in the world. Schroders’ business philosophy is based on the belief that if we deliver for clients, we will deliver for our shareholders and other stakeholders.

Important Information

Marketing material

For help in understanding any terms used, please visit address https://www.schroders.com/en-gb/uk/individual/glossary/

This document does not constitute an offer to anyone, or a solicitation by anyone, to subscribe for shares of Schroders Capital Semi-Liquid (the “Company”). Nothing in this document should be construed as advice and is therefore not a recommendation to buy or sell shares. An investment in the Company entails risks, which are fully described in the prospectus. Subscriptions for shares of the Company can only be made on the basis of its latest Key Information Document (where available) and prospectus together with the latest audited annual report (and subsequent unaudited semi-annual report, if published), copies of which can be obtained, free of charge, from Schroder Investment Management (Europe) S.A.

For the UK, these documents may be obtained in English, free of charge, from the following link: www.eifs.lu/schroders. Schroders may decide to cease the distribution of any fund(s) in any EEA country at any time but we will publish our intention to do so on our website, in line with applicable regulatory requirements.

The fund has the objective of sustainable investment within the meaning of Article 9 of Regulation (EU) 2019/2088 on Sustainability-related Disclosures in the Financial Services Sector (the “SFDR”). For information on sustainability-related aspects of this fund please go to www.schroders.com.

Any reference to regions/ countries/ sectors/ stocks/ securities is for illustrative purposes only and not a recommendation to buy or sell any financial instruments or adopt a specific investment strategy.

A summary of investor rights may be obtained from https://www.schroders.com/en/global/individual/summary-of-investor-rights/

Issued by Schroder Investment Management (Europe) S.A., 5, rue Höhenhof, L-1736 Senningerberg, Luxembourg. Registration No B 37.799.Distributed in the UK by Schroder Investment Management Ltd, 1 London Wall Place, London EC2Y 5AU. Registration No 1893220 England. Authorised and regulated by the Financial Conduct Authority.

Fund specific risks

The fund may have contractual agreements with counterparties. If a counterparty is unable to fulfil their obligations, the sum that they owe to the fund may be lost in part or in whole.

The price of this fund may be volatile as it may take higher risks in search of higher rewards, meaning the price may go up and down to a greater extent.

The fund will invest mainly in other collective investment schemes.

The fund is permitted to invest more than 35% of its scheme property in transferable securities and money market instruments issued or guaranteed by an EEA State / governments of the following country: United States of America, France, Germany, Italy, the United Kingdom.

The value of investments can go up and down and an investor may not get back the amount initially invested.

The valuation of private asset investments is performed on a less frequent basis than listed securities. In addition, it may be difficult to find appropriate pricing references for private asset investments. This difficulty may have an impact on the valuation of the portfolio of investments. Certain investments are valued on the basis of estimated prices and therefore subject to potentially greater pricing uncertainties than listed securities.

Issued by Schroder Investment Management Limited. Registration No 1893220 England. Authorised and regulated by the Financial Conduct Authority.  For regular updates by e-mail please register online at www.schroders.com for our alerting service.

^[1] An Article 9 Fund under SFDR is defined as “a Fund that has sustainable investment as its objective or a reduction in carbon emissions as its objective.”