AMP Capital Investors Core Infrastructure Funds








Current investments

Listed investments

The AMP Capital Core Infrastructure Fund has a target allocation of 50% to listed investments. The Fund’s allocation to listed investment is through the AMP Capital Global Listed Infrastructure Securities Fund, made up of 144 securities in 18 countries with a total market cap of $439 billion (as at 30 September 2007).

When selecting listed infrastructure assets, AMP Capital’s specialist infrastructure team focuses on developed countries which have strong regulatory environments and low infrastructure custodial costs. The team uses a top-down approach, selecting sectors rather than stocks for instant portfolio diversification.

Sectors included in the Fund are all transport infrastructure sectors, communications and some utilities, which are selected using AMP Capital’s stringent investment criteria. Some examples of the listed holdings include the following:

  • American Tower: American Tower was established in 1995 to own, manage, develop and lease wireless and broadcast communications sites
  • National Grid: National Grid owns the high-voltage electricity transmission network in England and Wales and operates the system across Great Britain

APAC

Australia Pacific Airports Corporation Limited (APAC) was the seed direct asset for the Fund. APAC was incorporated in 1995 as a vehicle for pursuing opportunities arising out of the Commonwealth’s initiative to privatise Australian airports.

APAC shareholders include AMP Capital, which holds a 51% stake, BAA plc (formerly British Airports Authority), DB Asset Management and Hastings.

APAC has two major assets, which are:

  • Melbourne Airport (acquired in July 1997 for approximately $1.3 billion)
  • Launceston Airport (acquired in May 1998 for $17 million)

Both airports are operated under a 50-year long-term lease from the Federal Government, with an option for a further 49 years.

Principal Healthcare Group

The Core Infrastructure Fund made a direct investment in Principal Healthcare Group (PHG) in February 2008 and overall AMP Capital manages a 95% stake in the group on behalf of a number of funds and clients. PHG recently became the largest private owner of residential aged care facilities in Australia, following its acquisition of 100% of Domain Aged Care.

Following the acquisition, PHG will hold approximately 9% of the for-profit market and approximately 3% of the total aged care market.

PHG owns and leases its residential aged care facilities to accredited operators who assume responsibility for operations, maintenance and regulatory compliance and capital costs.


Infrastructure Equity Fund (IEF)

Launched in 1995, the IEF was one of the original participants in the development of private infrastructure financing in Australia. IEF is an open ended trust that invests in a wide range of Australian and New Zealand infrastructure assets, diversified by a range of sectors and projects of varying business stages (from greenfield projects to mature infrastructure assets).

IEF invests predominantly in unlisted infrastructure in Australia across a broad range of sectors such as transport links, utilities and social infrastructure. The Fund also pursues limited and opportunistic investments in New Zealand as well as listed infrastructure.

IEF’s investment portfolio includes the following assets:

  • Australia Pacific Airports Corporation
  • Brisbane Airport
  • Interlink Roads (M5 Motorway)
  • Lane Cove Tunnel
  • Riverland Water
  • DUET (Diversified Utility and Energy Trusts)
  • Sydney University Village
  • Principal Healthcare Group
  • Matariki Forests
  • Reliance Rail


Committed Investments


The Strategic Infrastructure Trust of Europe (SITE)

Established in 2005, SITE is designed to provide investors with stable returns over the long-term through a mix of capital growth and yield.

The Fund is focused on OECD countries and is diversified across various sectors and lifecycles. Some of its investments include:

  • Wales & West Utilities
  • BAA
  • Thames Water