- Gives investors a simple, flexible route into the energy transition
- Backed by £165m, the fund is now live for investment on major platforms
- One of the first private market funds to be awarded a SDR ‘Sustainable Focus’ label
Octopus Energy Group’s fund management arm, Octopus Energy Generation, has launched a landmark fund, giving pension schemes and private wealth investors* a simple and flexible way to invest in the global energy transition.
The CG Octopus Energy Sustainable Growth Fund I (‘Astris’)** provides access to more than 50 renewable energy projects in 15 countries, including wind, solar and large-scale battery projects.
Astris launched with a £165 million (€194 million) cornerstone investment and is now open to private wealth investors and pension schemes through major investment platforms.
Unlike most traditional private market funds, Astris gives investors monthly access to the fund alongside some of the world’s largest and most respected institutional investors.
With Astris, investors can more easily back the technologies driving net zero without compromising on financial returns. Awarded the FCA’s new ‘Sustainable Focus’ label, the fund meets the highest standards for green investing.
Octopus already manages £7 billion of green energy projects, powers over 2.4 million homes a year and plans to unleash £20 billion (€23 billion) by 2030.
Matt Setchell, Co-Head of Octopus Energy Generation, said: 'For too long, pension schemes and private wealth have had limited investment opportunities in private markets due to a lack of innovative solutions. The launch of this fund changes that.
'It’s been built from the ground up to remove the structural barriers for investors wishing to participate in the $275 trillion generational investment opportunity*** to fund the energy transition and invest alongside professional investors and institutional funds from around the world. Day one investors will own a globally diverse portfolio of renewable projects and companies – delivering genuine impact with no compromise on financial returns.
'At Octopus, we’re always looking for new ways to give investors the chance to actively invest in the shift to clean, green energy and we couldn’t be prouder to be at the leading the charge with transformational funds like Astris.'
Jeremy Soutter, Managing Director at Carne Group, responsible for overseeing the fund’s governance, commented: 'Carne is delighted to be acting as independent authorised corporate director on Octopus Energy’s new Sustainable Growth Fund.
'At a time of heightened attention on the UK’s role within the global green transition and investment in the productive assets at the forefront of this change, the fund is an important enabler of private wealth and pension fund exposure both to private infrastructure as an asset class and to the energy transition as an investment opportunity.
'As the partner of choice for bringing innovative private markets products to market, we believe our partnership with Octopus exemplifies the benefits of collaboration in facilitating this innovation and delivering best-in-class fund management processes for end investors.'
Background
*The fund is suitable for defined contribution pension schemes and private wealth investors.
**Astris is a UK-regulated Non-UCITS Retail Scheme Fund of Alternative Investment Funds (NURS FAIF), designed to offer access to private market renewable energy assets with greater flexibility than traditional closed-end fund structures. Carne will serve as the fund’s Authorised Corporate Director (ACD) and, as such, oversee its operations and governance.
*** According to McKinsey & Company’s ‘The Net Zero Transition” report achieving net-zero emissions globally by 2050 will require an estimated $275 trillion in cumulative capital spending on physical assets, January 2022
Source: Octopus Energy Generation
