John Willis

How do we combine the best of public and private sector capital to fund critical economic infrastructure? Kier Starmer is at Labour party conference giving a clear message that the government wants to partner with the private sector to raise investment. How timely, then, that the latest abrdn #MacroBytes podcast is an interview with Bridget Rosewell, Chair of the M6toll and a non-exec director at the UK Infrastructure Bank, all about combining the public and private sector to fund infrastructure! Stretched public finances mean private capital is critical to fund the infrastructure necessary for future prosperity. Moreover, climate change, technological change, and demographic shifts are altering the sort of infrastructure we need in modern economies. Public sector capital is crucial to raising infrastructure investment because it can often borrow at lower rates and help crowd in the private sector. The private sector is critical because it can bring efficiency, capital discipline, innovation and – counter to some pre-conceptions – a long-term view removed from election cycles. But the private sector wants to see reform of the planning process, consistency of government policy, regulatory certainty, and a strategic vision aligned with long-term economic goals. 🎙 Listen to the pod to hear more -> https://lnkd.in/gE2iwkWQ

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We are very excited to be sharing insights from our 2024 DC Master Trust Report at SPS Conferences upcoming DC Pension Funds Update. Drop by to see us to hear more about what we are seeing in the market. Chris Stanley Susan Phillips FPMI Tina Oversby Dip.IEB APMI #gopensions #pensionsprojects #dcpensions #pensionsgovernance #dcmastertrust

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The latest Impact Lens research from Pensions for Purpose, sponsored by Jupiter Asset Management, outlines universal DE&I best practice applicable across asset owner organisations. Although the recommendations vary in complexity, our report offers institutions a roadmap to enhance their internal and external DE&I initiatives. #Diversity #Inclusion #PensionsforPurpose https://ow.ly/4FRV50RpULV

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FINANCIAL INCLUSION FOR SCOTLAND CALLS ON SCOTTISH GOVERNMENT TO DIRECT £20M IN DORMANT ASSETS TOWARDS TACKLING FINANCIAL EXCLUSION Financial Inclusion for Scotland (FIFS) is calling on the The Scottish Government to urgently prioritise the allocation of dormant assets towards combating financial exclusion across Scotland. The recommendation is part of a series of measures contained within Scotland’s first collaborative Financial Inclusion Strategy, aimed at enhancing the financial wellbeing of Scotland's most vulnerable populations and enabling access to mainstream financial services in the absence of traditional credit scores. The two-year strategy underlines the transformative potential of dormant assets, the collective term for financial products which have not been touched for a long time, proposing that funds in Scotland be directed to create a more inclusive financial system that supports fair access to credit and banking services. The Dormant Assets Scheme (DAS) was expanded last year to include other financial sectors including pensions and insurance. At present, dormant assets funding in Scotland is used to fund youth projects. The expansion of the scheme presents an opportunity to direct a proportion of these assets towards financial inclusion initiatives. Central to this proposal is the establishment of a £20 million 'First Loss Fund' which would be instrumental in bolstering community lenders and expanding the availability of affordable credit. With evidence suggesting a significant proportion of Scots are either unaware of cheaper credit options or are unable to access them, FIFS is also pressing for accelerated digital transformation in the credit sector. The organisation has committed to funding, developing and promoting a new digital loan finder tool to connect individuals directly with affordable credit options. Stephen Pearson, Chair of Financial Inclusion for Scotland, commented: “Directing dormant assets towards financial inclusion is not merely a funding issue; it's about laying the foundation for a fairer financial future for all Scots. With the expansion of the Dormant Assets Scheme potentially releasing a further £880 million for good causes, we have a unique opportunity to support financial inclusion in Scotland and drive significant change.” You can read the full strategy here: https://lnkd.in/ePgf2-_8 Financial Inclusion for Scotland was formed in 2022, with Social Investment Scotland acting as the lead member. #FinancialInclusion #CDFIs

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An opinion article by our Steering Committee Chair Fiona Reynolds has just been published by Devex: https://lnkd.in/eXsWTvQ2 Fiona writes: "Peace finance is a new investment category that helps investors access new, frontier markets while making tangible, positive moves toward peace. Here's why we need it." Interpeace #peacefinance #impactinvesting #financingpeace #PFIF

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Why is the fate of Thames Water being fought out between two groups of bondholders, some of them distressed debt specialists, and a bevy of advisers? Thames needs risk capital and short term liquidity. At the moment the Class A and B securitization noteholders are being asked to provide both, through an expected debt-for-equity swap and a temporary super-senior loan. But these investors are not the right providers: their vocation is to supply long term, investment grade senior debt. This 'train wreck' as one participant called it this week has gone on long enough. Thames's equity is probably uninvestable. If investors can be found, they will want high returns and likely a write-off of some of the senior debt. What will that do to the investability of 15 other water companies? The government needs to stop putting off the inevitable and shoulder its responsibility. It is best placed to provide what Thames needs. Free comment Thames Water Keir Starmer Rt Hon Rachel Reeves #bonds #securitization #wholebusinesssecuritization #wbs #capitalmarkets #dcm #debtcapitalmarkets #privatisation https://lnkd.in/e7kqkJ5B

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We are delighted to see our research into endgame options published by Institutional Asset Manager: https://lnkd.in/e5EreupQ To read the full research paper 'Strategies for winning the endgame' written by Arif Saad CFA and Panashe Bera FIA, visit: https://lnkd.in/erCgshn5 Capital at risk. For professional investors only. #FuduciaryManagement #Endgame #PensionSchemes

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Did you know 53.3% of the UK’s total generation capacity now comes from the independent sector? ⚡ Download our UK Renewable Independent Sector report for a snap-shot of the UK independent generation market and to find out how their current contribution to the generation mix is bridging the gap to the future energy system. 👉 Download the report here: https://lnkd.in/e4mHNBtA #RenewableEnergy #IndependentGenerators #NetZero #Decarbonisation

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Make Britain Green Again! With Labour widely expected to win the election tomorrow, investors are looking forward to policy certainty and welcome the engagement they have had with the party on environmental policy and sustainable finance. While ambition seems to be high, sources warn that difficult discussions will need to be had given the current economic climate. There is also no word on whether Labour plans to reintroduce a controversial bill which would have affected LGPS divestment decisions. https://lnkd.in/e58rbE_v

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https://lnkd.in/eGVATjju The FT story on our ESG in DC Pensions Report shows how our research is highlighting the strongly held views across the industry on how to measure and communicate climate, carbon and ‘green’ issues. The story shows our table on the carbon footprint of the main DC pension providers, which is disclosed by them in their TCFD reports. Greening the economy, and pensions, is an immensely complex issue - while the carbon footprint measure is the most commonly understood, it is only part of the story.  I heard former Nest CEO Helen Dean CBE Dean speaking at an event yesterday, describing how that provider had taken scheme members from Grimsby in a boat to an offshore wind farm their pensions had helped fund. That investment will not have had a low carbon footprint but will have contributed to a greener future.  Carbon footprint is an important metric, and tracking progress over time will be key. But it is one of several approaches and metrics - others include science-based targets, scenario analysis, stewardship, impact investment and biodiversity, as well as others we don’t yet know about - that need to be taken into account when considering how ‘green’ a pension is. Some of these are covered in detail in the 19 tables and charts in the 80 page report. You can find a link to download the report here.https://https://lnkd.in/eA53dazK The government has forced the industry to deliver TCFD reports for a reason – to create clear benchmarks for tangible action. We’ve collated key elements of that data into one place to help inform this debate, which will continue to evolve - it is now over to the industry to debate how we should make sense of it all, because if this data is in the public domain, people are understandably going to want to see it and understand it.

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The latest IJGlobal podcast - Infra Dig - talking to William Barrett, CAIA of Reach Capital | Private Assets Advisor about forestry and how it's creeping into the infra asset class. Tune in here... https://lnkd.in/eBUYpEHc

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There is a general establishment consensus establishing itself that ⁦‪@RachelReevesMP‬⁩ should in the Budget change ⁦‪@hmtreasury‬⁩ rules so more money can be borrowed. The UK is already saddled with historic levels of debt and borrowing. More of either would be a mistake. UK confronts massive funding gap to tackle crumbling infrastructure

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🎧 #ICYMI... It's time for this week's Climate Bonds Café! Following the launch of the Q1 Market Report, we saw a record-breaking quarter for GSS+ issuance. Joining us to review all the key facts, figures and standout performers is Caroline Harrison, Director of Technical Development, Climate Bonds Initiative 🎙️ Many are starting to wonder: Will 2024 be the year of one trillion USD of aligned #green issuance? 👀 Listen here: https://ow.ly/zRhM50Stz44

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Local Authority Pension Fund Forum (LAPFF) and CCLA Investment Management, supported by investors representing £1.6 trillion AUM, have written to the chairs of 76 FTSE 100 companies that have not held a vote on their climate transition plans in the past three years setting out their expectations ahead of next year’s AGM season.  #ClimateChange #Sustainability #ClimateStrategy

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