Why do we do it

• Infrastructure is a defensive asset class with many merits in a current uncertain economic environment: Projects are providing long-term, visible, stable and secure cash-flows from value-adding renovation of tangible assets
• Low correlation: Long-term private loans generate recurring streams of fixed income with negligible correlation to financial markets, other asset classes or short to medium-term macro-economic cycles
• Strong political/economic momentum: US$69 trillion is estimated to be required in infrastructure investment in the OECD between 2017 and 2035  exclud social infrastructure, upgrades and extensions. The U.S. needs more than US$ 4 trillion/year of additional investments to renovate its infrastructure to current standards and keep up with GDP growth. President Biden’s US$ 1.7 trillion Bipartisan Infrastructure bills (Infrastructure Investment and Jobs Act) or US$ 400 billion/year (10% of yearly needs) as well as regulations (« race to zero »: federal rule to eliminate lead in water pipelines by the end of the decade) are pushing federal, states and cities’infrastructure agenda. US$325 billion were raised by private equity infrastructure funds over 7 years at end of 2017. In 2021 150+ more funds raising a target of US$125bn in 2022 and the entailed total amount of “dry powder” estimated at US$300bn, private equity funds alone were already in need of approximately US$1.2 trillion in financing since 2021, size of equity infra funds raised increased dramatically putting more momentum on infra debt and capex needs. Banks and private credit funds will finance part of the acquisitions. Ceres will focus on capex for asset renovation regardless of the owner.