Asset Management One Alternative Investments, Ltd. (AMOAI) and Dai-ichi Life Insurance Company, Limited have announced the joint development of an investment scheme targeted at infrastructure debt. Under this scheme, AMOAI has launched an infrastructure debt fund: Cosmic Blue PF Lotus FCP-RAIF, with Dai-ichi Life contributing JPY20 billion (~US$175 million) as the anchor investor.

The fund is the second infrastructure debt fund managed by AMOAI, as an investment management company, after Cosmic Blue PF Trust Lily, which was launched in July 2016.

Similar to the first fund, Cosmic Blue PF Lotus FCP-RAIF aims to provide long-term stable income to institutional investors such as life insurance companies and pension funds by offering globally diversified portfolio in project finance debt.

The fund will focus on diversified investment in infrastructure projects that have long-term stable cashflow based on offtake agreements, etc.; the target projects are those providing indispensable infrastructure to society such as electricity, transportation, water supply, sewage systems, and hospitals.

Moreover, to further capture attractive investment opportunities, the fund will expand its investment target from secondary to primary and will be involved in deals from origination. AMOAI plans to increase the fund’s assets under management for infrastructure debt to around JPY100 billion (~US$880 million).