Investing in infrastructure: the institutional experience

The giant Canadian and Australian pension plans are regularly hitting the headlines at the moment as they snap up utility companies and other major facilities

Jim Leech, senior vice-president of the private investing arm of the Ontario Teachers' Pension Plan (OTPP), Teachers' Private Capital, is among an increasing number of pension-fund investment professionals who see in direct infrastructure purchases the potential to match long-term returns with long-term liabilities. In fact, he has referred to infrastructure as "real-rate bonds on steroids". For his part, Robbert Coomans, head of infrastructure investments and private equity at Dutch pension fund ABP, said: "Infrastructure is very interesting for us, due to it being a very long-term, stabl...