# Foresight launches new Infrastructure Income Fund Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2017-12-05 Category: INVESTING Category URL: https://financedigest.com/category/investing Meta Title: New FP Foresight UK Infrastructure Income Fund: Achieve 5% Meta Description: Make your money work for you with the FP Foresight UK Infrastructure Income Fund, targeting a 5% annual income through UK listed renewable energy and URL: https://financedigest.com/foresight-launches-new-infrastructure-income-fundhtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/fd051217-2-1736843180622-compressed.jpg) - **New fund will invest in UK listed renewable energy and infrastructure equities and bonds** - **Targeting annual income of 5%** - **Capitalising on unprecedented growth of UK energy and infrastructure sector** Foresight Group LLP (“Foresight”) today [announces that it has launched](https://www.financedigest.com/cavai-global-leader-in-conversational-advertising-announces-innovative-launch-of-conversational-video-to-maximise-engagement-and-impact.html "Cavai, global leader in conversational Advertising, announces innovative launch of conversational video to maximise engagement and impact") the FP Foresight UK Infrastructure Income Fund (“the Fund”). The Fund, which has received FCA regulatory approval, is actively managed and will invest in UK listed renewable [energy and infrastructure fund/investment company](https://www.financedigest.com/luc-remont-proposed-as-new-boss-of-french-energy-company-edf.html "Luc Remont proposed as new boss of French energy company EDF") equities and bonds. It will target an [annual income of 5% per annum with dividends](https://www.financedigest.com/deutsche-post-raises-annual-dividend-warns-of-challenging-2023.html "Deutsche Post raises annual dividend; warns of challenging 2023") paid quarterly. Available on a variety of platforms and wraps, the Fund has a minimum investment of £1,000, or £100 per month for regular savings, and comprises one share class for both [retail and institutional investors](https://www.financedigest.com/analysis-european-retailers-are-on-investors-naughty-lists-this-christmas.html "Analysis-European retailers are on investors’ naughty lists this Christmas") with the option for either income or accumulation. The Fund’s model portfolio delivers [higher returns](https://www.financedigest.com/boohoo-warns-on-outlook-blaming-higher-returns-and-pandemic-costs.html "Boohoo warns on outlook, blaming higher returns and pandemic costs") and lower volatility than the FTSE All Share. In the last two years, the total return for the [Fund’s model portfolio was 24% vs 20.7% for the FTSE All Share](https://www.financedigest.com/entrepreneur-investor-dale-w-wood-shares-how-he-is-using-his-funds-to-create-change.html "Entrepreneur & Investor Dale W Wood Shares How He Is Using His Funds to Create Change") and volatility was just 4.8% compared to 15.2%1. The UK has seen unprecedented [growth in renewable energy](https://www.financedigest.com/renewable-energy-monitoring-and-control-system-market-to-witness-an-outstanding-growth-by-2030.html "Renewable Energy Monitoring and Control System Market to Witness an Outstanding Growth by 2030") and infrastructure investment over the last five years that is expected to continue for the foreseeable future.  Indeed, the [forecast for the next eight years](https://www.financedigest.com/global-automotive-brake-system-market-is-expected-to-witness-a-rise-of-3-cagr-between-the-forecast-years-of-2020-2030.html "Global Automotive Brake System Market is expected to witness a rise of 3% CAGR between the forecast years of 2020-2030") shows a 27% increase in cumulative UK renewable energy generation2. Foresight believes that renewable [energy and infrastructure are attractive asset](https://www.financedigest.com/exclusive-repsol-agrees-to-sell-alberta-oil-assets-to-cppib-backed-teine-energy-sources.html "Exclusive-Repsol agrees to sell Alberta oil assets to CPPIB backed-Teine Energy -sources") classes as they are characterised by stable and predictable demand, high barriers to entry and long-term contracted revenue streams. UK listed renewable energy and infrastructure funds / investment companies also benefit from [protection from inflation as a high proportion of underlying asset](https://www.financedigest.com/how-to-best-protect-assets-following-major-global-shifts.html "How to Best Protect Assets Following Major Global Shifts") revenues are directly linked to inflation. The comfortable spread between listed UK renewable energy and infrastructure funds’ discount rates and the risk-free [rate provides a further buffer to interest rate rises](https://www.financedigest.com/bank-of-england-set-for-second-hefty-rate-rise-in-a-row.html "Bank of England set for second hefty rate rise in a row"). Ahead of the fund launch Foresight carried out research3 with financial advisers which revealed that three quarters (75%) are bullish about the investment outlook for UK infrastructure assets and the majority (59%) expect to see increasing demand amongst clients for exposure to the [sector through SIPPs and ISAs over the next five years](https://www.financedigest.com/effective-integration-will-improve-mobility-in-the-tl-sector-over-the-next-five-years.html "Effective Integration Will Improve Mobility in the T&L Sector Over the Next Five Years"). The research further revealed that infrastructure is poised to become an increasingly popular asset class for [investors as it mitigates four of the biggest headwinds facing](https://www.financedigest.com/gold-investors-face-bind-over-bars-from-tarnished-russia.html "Gold investors face bind over bars from tarnished Russia") client portfolios. These were identified as volatility by more than half (56%) of advisers, a market correction (49%); inflation (42%) and interest [rate rises](https://www.financedigest.com/analysis-traders-ready-for-wilder-swings-as-rate-rises-stoke-volatility.html "Analysis: Traders ready for wilder swings as rate rises stoke volatility") (28%). Indeed three in ten (32%) advisers are looking to increase their clients’ allocation to the asset class over the [next three years](https://www.financedigest.com/german-engineering-firms-expect-hit-from-supply-chain-bottlenecks-next-year.html "German engineering firms expect hit from supply chain bottlenecks next year"). The UK has been consistently assessed as one of the [top most attractive countries for renewable energy and infrastructure investment](https://www.financedigest.com/what-are-the-top-luxury-products-to-invest-in-for-2021.html "What are the top luxury products to invest in for 2021?"). Much of this investment has come from UK listed renewable energy and infrastructure funds and investment companies, of which there are over 20 players with combined [market capitalisation worth](https://www.financedigest.com/automotive-gas-charged-shock-absorbers-market-worth-will-reach-us-2-9-bn-in-2021-grow-at-overall-compound-annual-growth-rate-cagr-of-5-0-between-2021-and-2031.html "Automotive Gas Charged Shock Absorbers Market worth will reach US$ 2.9 Bn in 2021, grow at overall compound annual growth rate (CAGR) of 5.0% between 2021 and 2031") £17bn (which has grown from over £60m in 2004). **Jamie Richards, Partner at Foresight,** commented: “ _The new FP Foresight UK Infrastructure Income Fund enables investors to capitalise on a thriving energy_ _[sector](https://www.financedigest.com/switzerlands-engineering-sector-urges-country-to-start-energy-saving-now.html "Switzerland’s engineering sector urges country to start energy saving now"), which offers numerous investment opportunities across generation, transmission and distribution technologies. The [global decarbonisation agenda will lead to a growing](https://www.financedigest.com/fish-based-pet-food-market-to-surpass-us-16213-2-mn-as-demand-for-pet-food-with-high-nutritional-value-grows-globally.html "Fish Based Pet Food Market to Surpass US$ 16,213.2 Mn as Demand for Pet Food with High Nutritional Value Grows Globally") reliance on renewable energy, which is becoming cheaper to produce and easier to store._ “At Foresight, we have a specialist focus on [energy infrastructure](https://www.financedigest.com/russian-missiles-hit-30-of-ukraines-energy-infrastructure-in-two-days-minister.html "Russian missiles hit 30% of Ukraine’s energy infrastructure in two days – minister") combined with a tradition of innovation in creating investment solutions that respond to investors’ needs. We manage funds for more than 22,000 private investors and for some of the [world’s leading](https://www.financedigest.com/arora-project-have-experienced-out-of-this-world-returns-with-their-lead-generation.html "Arora Project have experienced out-of-this-world returns with their lead generation") financial institutions. We’re excited to be [launching this infrastructure income fund](https://www.financedigest.com/g7-launches-climate-shield-fund-some-countries-wary.html "G7 launches climate ‘Shield’ fund, some countries wary") which we expect to have broad appeal.” **Philip Payne, Director of Mulberry [Wealth Management](https://www.financedigest.com/annual-survey-of-wealth-managers-2022.html "Annual Survey of Wealth Managers 2022")** said: ““Infrastructure has historically been regarded as the domain of institutional investors.  However, we have found the asset class becoming increasingly attractive for our clients as more opportunities open up.  Investors find the predictable revenue streams and stable returns compelling, particularly in times of uncertainty when [markets are rocked by volatility](https://www.financedigest.com/analysis-oil-prices-turn-more-volatile-as-investors-exit-the-market.html "Analysis-Oil prices turn more volatile as investors exit the market").  Foresight has a strong track record of innovation and infrastructure investment and we expect our clients will find the [Fund’s target](https://www.financedigest.com/u-s-senate-democrats-target-big-oil-for-carbon-polluters-fund.html "U.S. Senate Democrats target Big Oil for carbon polluters fund") yield of 5% particularly appealing” The Fund will be actively managed and distributed by Foresight Group LLP, a [leading and award-winning independent infrastructure and private equity](https://www.financedigest.com/private-equity-resilience-leads-to-opportunity.html "Private Equity – Resilience Leads to Opportunity") asset manager. --- This blog is powered by Superblog. 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