LONDON, June 2 /PRNewswire/ -- Ecofin is pleased to announce the launch of the Ecofin China Power Infrastructure Fund at the beginning of June 2009. The fund is designed to generate compelling risk-adjusted returns in greater China, building on the firm's global expertise in infrastructure and utilities investing. The fund seeks to generate absolute returns with lower volatility than the Chinese market through dynamic portfolio construction based on macro and fundamental research.
The Chinese government is in the midst of a massive upgrade of the country's infrastructure focusing on transportation network, renewable energy, and utility generation and distribution assets in the utility space. The build-out of China's infrastructure and the transformation of the country's energy consumption mix will be among the most important global investment themes in the years to come, as China is set to become the world's largest economy within a decade. In the short term the $586b stimulus spending package with the majority going into infrastructure and energy space accelerates the sector's long term growth and at the same time provides catalysts and dispersion among the sub sectors.
In this environment the fund will seek to profit from a number of specific opportunities in the infrastructure and power universe. The secular growth opportunity, visibility of cash flows, and the asset-backed nature of the companies favour the risk profile of the sector, while the dispersion of returns will provide fertile ground for long and short tactical allocation, said Bernard Lambilliotte, CIO of Ecofin.
The long-biased long-short Fund will range between 20% and 100% net long, with a max of 150% gross and no financial leverage. The fund will invest mainly in large cap stocks, and will have monthly liquidity with 30 days redemption notice.
Ecofin is a leading specialist in the utilities and infrastructure sectors worldwide, managing $3.4 billion across a range of hedge funds and long-only funds and mandates. A portion of the funds is already invested in China. Ecofin has a global team of 25 utility specialists, four of whom specialize in China. Ecofin was founded in 1992, is SEC-registered and FSA-regulated, and has offices in London, New York, Hong Kong and Geneva.
This press release is being issued by Ecofin Limited (the Investment Manager).
This press release does not constitute or form part of any offer to issue or sell, or any solicitation of any offer to subscribe or purchase, any shares in the Ecofin China Power Infrastructure Fund (shares) nor shall it or the fact of its distribution form the basis of, or be relied on in connection with, any contract therefore. Recipients of this press release who intend to apply for or purchase shares are reminded that any such application or purchase may be made solely on the basis of the information and opinions contained in the Fund's offering documents which may be different from the information and opinions contained in this press release. No representation, warranty or undertaking, express or implied, is given as to the accuracy or completeness of the information or opinions contained in this press release by the Investment Manager and no liability is accepted by the Investment Manager for the accuracy or completeness of any such information or opinions.
For further information on the Ecofin China Power Infrastructure Fund, and our full asset management capabilities, please feel free to contact Vincent Barnouin or the Marketing Team on +44(0)20-7451-2929 or firstname.lastname@example.org.