The London Fund was launched in January 2020 as a collaboration between two LGPS investment pools – the London Collective Investment Vehicle (LCIV) and Local Pension Partnership Investments (LPPI) – to enable London LGPS funds to access investment opportunities in three of the PBII pillars – housing infrastructure and SME finance – across the Greater London area and surrounds.

South Yorkshire Pension Fund is the eighth largest LGPS fund in the UK as of 2020. SYPA has a longstanding commitment to investing within the South Yorkshire region with the aim of generating a commercial return and positive local impacts. SYPA has made investments across all the key PBII sectors including SME finance, affordable housing and renewable energy.

There has been a rapid rise in institutional investment in social and affordable housing over the last few years bringing equity into the sector. Recent research commissioned by the Impact Investing Institute found that the social housing sector provides attractive risk-adjusted opportunities for both equity and debt investors.

Greater Manchester Pension Fund (GMPF) is the largest LGPS in the UK and one of the only pension funds to have an explicit allocation to local investment with the twin aims of generating a commercial return and delivering a positive local impact.

Focusing on Media City in Manchester and Sleaford Renewable Energy Plant, this case study covers two co-investment examples led by Legal & General Capital and Border to Coast respectively.

In 2016, Nottinghamshire Pension Fund invested £1.5 million in Nottinghamshire Community Energy (NCE). The pension fund’s investment provided longterm funding to help finance the construction and management of a solar farm with the aim of benefitting the local community.

The Greater Manchester Property Venture Fund (GMPVF) was created by the Greater Manchester Pension Fund in 1990. It is a specialised vehicle for the LGPF to invest in property developments in Greater Manchester and across the wider North West area which generate a commercially viable rate of return.

Greencoat Capital is an asset manager which offers institutional investors the opportunity to invest into a diversified portfolio of UK and European renewable infrastructure assets delivering inflation-linked cashflows. It has successfully raised capital from a number of LGPS funds and represents a good example of how listed funds can bring scale to these key PBII sectors.

Foresight Group is a global investment manager which offers both private and public investment vehicles to institutional and retail investors. Foresight Group has products in the SME finance, clean energy and infrastructure PBII pillars.

Bridges Fund Management is a private markets fund manager specialising in sustainable and impact investment. They strive to make investments that contribute to the transition to a more inclusive and sustainable economy, predominantly in the UK to date.