search menu Home > Sanlam Investments > Our fund range ALTERNATIVES Sanlam Real Assets Fund Aiming to provide CPI +4% returns by investing in global listed securities that derive their value from underlying real assets, particularly infrastructure, specialist property and renewable energy. The fund was launched in August 2018 to invest in listed securities that derive their value from underlying real assets and targets CPI +4% over a full investment cycle. Investments can be via REITs, investment trusts or specialist companies with a focus on physical assets. The fund: Offers attractive yields from long-term cashflows with significant inflation protection Is managed by a team with proven experience in this area Benefits from diversification and lower volatility than traditional equity portfolios Sections: 5 reasons to invest Philosophy The pillars ESGI Investment process Fund commentary Related articles Fund literature Factsheet KIIDs Regulatory Fund information Meet the Sanlam Real Assets Team Mike Pinggera Head of Multi-Strategy View profile Johan Bandenhorst Fund Manager View profile Christopher Greenland, CFA Fund Manager View profile Why invest in the fund? 5 reasons to invest Fund philosophy The pillars ESGI Investment process Alternative way to invest in an illiquid asset class, normally accessed via private equity funds The focus is on investments that are beneficiaries of demographic changes Access specialist vehicles with a specific sector or thematic focus (e.g. renewable energy, schools, healthcare etc.) Complements lead manager’s 25 years’ investing in this space We invest in operational long-life assets with excellent earnings visibility and inflation linkage, which results in lower volatility than global equities. Our focus is on investments that are key for a successful economy and beneficiaries of demographic changes. Mike Pinggera, Fund Manager Fund Commentary Monthly Commentary Quarterly Update October 2021 Activity Two positions were divested from the portfolio during the month as a source of funds ahead of a pipeline of new real assets companies listing shortly on the UK market. These new companies are differentiated and compelling propositions, offering exposure to new geographies, asset types and sources of revenue. The divested positions have performed well over the year, and whilst we consider them to be robust businesses, they were outliers when viewed through an ESG lens. Elsewhere in the portfolio, one of our businesses announced a new equity raise, the proceeds of which were earmarked for European renewable projects under exclusivity. Transparency Fund performance was positive over the month, led by infrastructure, renewables, specialist property and other alternatives. The month saw a strong rebound in global equities, but fund performance was underpinned by solid quarterly results. A number of our infrastructure businesses reported operational performance that exceeded expectations driven by both organic and new business activities. In some cases, this led to upward revisions to full-year guidance from management teams. Positive contributors Acciona 0.59% 3i Infrastructure 0.33% NextEra Energy 0.31% Negative contributors Keppel Infrastructure -0.12% China Longyuan Power -0.09% Vonovia -0.09% Corporate Highlights Our real assets businesses announced 10 new acquisitions, 2 divestments, and 1 equity placing over the month. We had 2 capital markets day events with company management teams and 4 pre-IPO meetings. One of our global infrastructure businesses reported progress on a number of activities, including new green financing secured for the first climate adaption public-private partnership for flood prevention infrastructure in the US. Elsewhere its majority-owned renewables subsidiary announced new supply framework agreements for solar trackers and signed its first offtake agreement for its pioneering renewable hydrogen plant in Spain. These activities provide further examples of value-add enhancement opportunities to existing assets and the progress on nascent projects in development. These corporate updates highlight the multiple levers of growth available to our real asset businesses. Explore the details Aiming to provide CPI +4% returns by investing in global listed securities that derive their value from underlying real assets, particularly infrastructure, specialist property and renewable energy. Read the latest factsheet Related articles MARKET OUTLOOK 03 September 2021 Economic output has recovered, but should we fear a financial reckoning? From the rapid nosedive following lockdowns in March 2020 to springing earnings in the first half of ‘21, we’ve moved through this business cycle at top speed. It’s time to take a look at potential market implications and ask ourselves: Does economic payback await? MARKET OUTLOOK 02 June 2021 Why haven't markets rewarded company results? The first quarter was favourable for equities; companies generally beat earnings expectations, in some cases quite strongly. Recovery is well underway, helped by Covid vaccines and an influx of cash to American pockets courtesy of the Biden administration. So why then are outperforming equities reaping so little reward from their stock prices? MARKET OUTLOOK 01 April 2021 A positive outlook but beware of economic euphoria The global economic outlook is strengthening, and this view has been reinforced by many companies reporting expectation-beating earnings for the last quarter of 2020. But while good business results go some way towards explaining the confidence in equity markets, are they enough to justify inflated prices? Read all Fund Risks Past performance is not a guide to future performance. Do remember that the value of an investment and the income generated from them can fall as well as rise and is not guaranteed, therefore, you may not get back the amount originally invested and potentially risk total loss of capital. A table with five years’ performance is available in the fund factsheets. The Fund has holdings which are denominated in currencies other than sterling and may be affected by movements in exchange rates. Consequently the value of an investment may rise or fall in line with the exchange rates. The Fund may invest in derivatives for the purposes of efficient portfolio management and hedging only . There is a risk that losses could be made on derivative positions or that the counterparties could fail to complete on transactions. Part of the fund may invest in fixed income securities. The government or company issuer of a bond might not be able to repay either the interest or the original loan amount and therefore default on the debt. This would affect the credit rating of the bond and, in turn, the value of the fund. Investment in bonds and other debt instruments (including related derivatives) is subject to interest rate risk. If long-term interest rates rise, the value of your shares is likely to fall. Deemed authorised and regulated by the Financial Conduct Authority. The nature and extent of consumer protections may differ from those for firms based in the UK. Details of the Temporary Permissions Regime, which allows EEA-based firms to operate in the UK for a limited period while seeking full authorisation, are available on the Financial Conduct Authority’s website. (Notes 1, 3 and 4). Ready to invest? 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This will help us improve our service and tailor the marketing you see on apps and other websites. Select 'Accept all' to agree or 'Manage consents' to chose which cookies we use. Accept all Manage consents The value of investments and any income from them can fall and you may get back less than you invested.