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Investing in Green Infrastructure Funds (ITs)

Stocks and Shares ISA , Choosing funds for ISA's, risk factors for funds etc
Investment strategy discussions not dealt with elsewhere.
UncleEbenezer
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Re: Investing in Green Infrastructure Funds (ITs)

#347440

Postby UncleEbenezer » October 13th, 2020, 4:02 pm

richfool wrote:I see SSE is selling some "energy for waste" projects [...]
The sale – to an infrastructure fund managed by First Sentier Investors – comes as part of an aim to raise at least £2 billion by selling off unwanted assets.


Hmmm. I hold both SSE and First Sentier Infrastructure. Am I buyer or seller here? Perhaps I should report my related party transaction? :?

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Re: Investing in Green Infrastructure Funds (ITs)

#347528

Postby PrefInvestor » October 13th, 2020, 10:22 pm

richfool wrote:So some still believe in renewable energy and offshore wind.


I am still a strong believer in renewable energy of all forms, but I no longer believe that the big renewable energy trusts are the best way to invest in this sector. Well unless you are an income seeker who doesn’t care too much about the capital losses that I think are likely when the share prices fall to reduce the excessive premias.

I personally think that SSE is a good renewable energy company and if you are happy holding individual stocks then it could be a good way to invest in the sector, pays good dividends too, DYOR etc.. But personally I prefer diversified investments and so I much prefer an Investment which in turn holds a whole range of renewable energy stocks.

ATB

Pref

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Re: Investing in Green Infrastructure Funds (ITs)

#347530

Postby richfool » October 13th, 2020, 10:45 pm

PrefInvestor wrote:
richfool wrote:So some still believe in renewable energy and offshore wind.


I am still a strong believer in renewable energy of all forms, but I no longer believe that the big renewable energy trusts are the best way to invest in this sector. Well unless you are an income seeker who doesn’t care too much about the capital losses that I think are likely when the share prices fall to reduce the excessive premias.

I personally think that SSE is a good renewable energy company and if you are happy holding individual stocks then it could be a good way to invest in the sector, pays good dividends too, DYOR etc.. But personally I prefer diversified investments and so I much prefer an Investment which in turn holds a whole range of renewable energy stocks.

ATB

Pref

Interestingly, I have been looking at Impax Environmental Markets (IEM), over the last week or so. I like what it invests in and its capital performance to date, though I think I might be a bit too late to the party if I bought at the current SP, and there isn't much of a dividend to help compensate. It would however be an alternative to holding renewable energy companies (on very high premiums -TRIG & JLEN) directly.

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Re: Investing in Green Infrastructure Funds (ITs)

#347536

Postby UncleEbenezer » October 13th, 2020, 11:46 pm

richfool wrote:Interestingly, I have been looking at Impax Environmental Markets (IEM), over the last week or so. I like what it invests in and its capital performance to date, though I think I might be a bit too late to the party if I bought at the current SP, and there isn't much of a dividend to help compensate. It would however be an alternative to holding renewable energy companies (on very high premiums -TRIG & JLEN) directly.

Already featured in this thread: here's something I posted. It's a very different beast to the renewable infrastructure funds: a much broader investment mandate, and negligible dividend. I've held it many years,during which it's had good and bad spells.

The political signals nowadays look more favourable than a few years back, for whatever that's worth.

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Re: Investing in Green Infrastructure Funds (ITs)

#348092

Postby richfool » October 15th, 2020, 8:09 pm

PrefInvestor wrote:I am still a strong believer in renewable energy of all forms, but I no longer believe that the big renewable energy trusts are the best way to invest in this sector. Well unless you are an income seeker who doesn’t care too much about the capital losses that I think are likely when the share prices fall to reduce the excessive premias.

I personally think that SSE is a good renewable energy company and if you are happy holding individual stocks then it could be a good way to invest in the sector, pays good dividends too, DYOR etc.. But personally I prefer diversified investments and so I much prefer an Investment which in turn holds a whole range of renewable energy stocks.


UncleEbenezer wrote:
richfool wrote:Interestingly, I have been looking at Impax Environmental Markets (IEM), over the last week or so. I like what it invests in and its capital performance to date, though I think I might be a bit too late to the party if I bought at the current SP, and there isn't much of a dividend to help compensate. It would however be an alternative to holding renewable energy companies (on very high premiums -TRIG & JLEN) directly.

Already featured in this thread: here's something I posted. It's a very different beast to the renewable infrastructure funds: a much broader investment mandate, and negligible dividend. I've held it many years,during which it's had good and bad spells.

The political signals nowadays look more favourable than a few years back, for whatever that's worth.

Thanks for the link.

Well in the event I sold 2/3rds of my TRIG holding and 1/3rd of my JLEN holding and split the proceeds between: IEM and INRG. Noted that will reduce my dividend income, but should increase capital growth as well as diversification.

Beside retaining smaller holdings of both JLEN and TRIG, I also still hold EGL and INPP, which have involvement with energy, renewables, waste and water amongst other infrastructure.

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Re: Investing in Green Infrastructure Funds (ITs)

#348596

Postby PrefInvestor » October 18th, 2020, 10:51 am

richfool wrote:Well in the event I sold 2/3rds of my TRIG holding and 1/3rd of my JLEN holding and split the proceeds between: IEM and INRG. Noted that will reduce my dividend income, but should increase capital growth as well as diversification.


Well I hope that your new holdings are doing well, been a volatile few days this week. I was sitting on a 30% gain on INRG and had a stop loss set at 905 to guarantee that I kept at least a 25% gain if it dropped back sharply for any reason. I was taken by surprise by the big dip on Thursday morning - I was out having my morning walk and my phone pinged to tell me that my limit order had activated. Was very surprised because it was at 93x when I last looked and I thought I was safe leaving the limit order there, but I didnt REALLY want to sell. Of course it has recovered to 930 again now and I will have to wait for a dip to try to get back in, doh !.

I must say that IEM and EGL also look interesting and that JLEN & TRIG have both dipped a bit.

I think that the US election result might prove as BIG driver for the renewable components sector, especially if Biden gets in as seems to be expected. Dont see it helping the big 6 renewable trusts here though myself.

ATB

Pref

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Re: Investing in Green Infrastructure Funds (ITs)

#348613

Postby richfool » October 18th, 2020, 11:57 am

PrefInvestor wrote:
richfool wrote:Well in the event I sold 2/3rds of my TRIG holding and 1/3rd of my JLEN holding and split the proceeds between: IEM and INRG. Noted that will reduce my dividend income, but should increase capital growth as well as diversification.


Well I hope that your new holdings are doing well, been a volatile few days this week. I was sitting on a 30% gain on INRG and had a stop loss set at 905 to guarantee that I kept at least a 25% gain if it dropped back sharply for any reason. I was taken by surprise by the big dip on Thursday morning - I was out having my morning walk and my phone pinged to tell me that my limit order had activated. Was very surprised because it was at 93x when I last looked and I thought I was safe leaving the limit order there, but I didnt REALLY want to sell. Of course it has recovered to 930 again now and I will have to wait for a dip to try to get back in, doh !.

I must say that IEM and EGL also look interesting and that JLEN & TRIG have both dipped a bit.

I think that the US election result might prove as BIG driver for the renewable components sector, especially if Biden gets in as seems to be expected. Dont see it helping the big 6 renewable trusts here though myself.

ATB

Pref


Thanks for your thoughts Pref. Whoops, regarding you getting stopped out. You will have to watch for the next dip.

Yes, I bought my holdings the day before Thursday's dip, but the recovery on Friday got me back to somewhere close to where I started. I do realise there will be more volatility with growthier stocks, so am fairly philosophical about those sorts of ups and downs.

My nature tends to be that once I have decided to do something, I want to get on and do it and tidy up my administration/spreadsheets. Whereas sometimes there is merit in sitting on one's hands and waiting for a "quick sale" situation to arise. Ideally, I should have sat on my hands until Thursday's special offers!

That said, there have been other situations, - e.g. USA and more recently IBT (International Biotechnology Trust), - where I bought in and the SP carried on upwards and onwards from that very day.

EGL is quite utility focused, (well, 24% utilities and 23% renewables). In the Infrastructure sector there is also INPP (22% energy transmission), the growth of the latter has been less dynamic.

Regards

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Re: Investing in Green Infrastructure Funds (ITs)

#351334

Postby richfool » October 28th, 2020, 1:18 pm

For anyone interested in Next Energy Solar Fund (NESF),- Operating Update:
NESF is pleased to announce that generation for the first half of this financial year has significantly exceeded budget. For the period ending 30 September 2020, generation from NESF's portfolio was 11.1% above budget (2019: 5.0%), while irradiation has exceeded expectations by 10.8% (2019: 4.8%). The Company has reaffirmed its full-year dividend target of 7.05p for financial year ending 31 March 2021 (2019: 6.87p).

https://www.investegate.co.uk/nextenerg ... 00033959D/

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Re: Investing in Green Infrastructure Funds (ITs)

#352892

Postby richfool » November 3rd, 2020, 9:55 am

An article from the AIC on the Renewable Energy Infrastructure sector. A short extract with some key points below:
However, the appeal of renewable energy investment trusts extends well beyond anxious environmentalists. With reliable dividend-paying assets highly prized in these days of rock-bottom interest rates, income investors have homed in on the generous yields on offer. These currently average 5.2% and in many cases are linked to inflation (with any capital growth as a bonus).

As a consequence, all the companies in the sector are currently trading on hefty premiums to NAV, averaging 17.5%. That’s marginally above the 52-week average of +11.3% for the sector.

Walls suggests that current premium levels mean “it may be worth waiting for the secondary share issues that happen from time to time”.

It’s important to note also that these trusts are specialist investments and should only form a small part of any balanced portfolio - particularly as their performance will be influenced by external factors such as the wider price of fuel globally and the UK government’s policy on supporting renewable energy generation through subsidies and other initiatives.

If you’d rather look for a broader-brush investment response to environmental concerns, the leading option of the three trusts in the Environmental sector is Impax Environmental Markets, which invests in companies active in the growing resource efficiency and environmental arena, from sustainable forestry to pollution control. It trades on a modest 2% premium and has seen a share price rise of 21% over the past year.

https://www.theaic.co.uk/aic/news/comme ... onscious-0

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Re: Investing in Green Infrastructure Funds (ITs)

#352896

Postby sunnyjoe » November 3rd, 2020, 10:09 am

https://renews.biz/64139/downing-plans- ... ables-ipo/

https://quoteddata.com/2020/11/ipo-down ... structure/

It sounds like a little TRIG i.e. diversified across several renewable technologies and several northern European countries

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Re: Investing in Green Infrastructure Funds (ITs)

#353303

Postby funduffer » November 4th, 2020, 9:02 am

richfool wrote:For anyone interested in Next Energy Solar Fund (NESF),- Operating Update:
NESF is pleased to announce that generation for the first half of this financial year has significantly exceeded budget. For the period ending 30 September 2020, generation from NESF's portfolio was 11.1% above budget (2019: 5.0%), while irradiation has exceeded expectations by 10.8% (2019: 4.8%). The Company has reaffirmed its full-year dividend target of 7.05p for financial year ending 31 March 2021 (2019: 6.87p).

https://www.investegate.co.uk/nextenerg ... 00033959D/


Thanks for this, I recently took a small holding in NESF.

I interpret "irradiation has exceeded expectations" as meaning we had a sunny spring!

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Re: Investing in Green Infrastructure Funds (ITs)

#353338

Postby dspp » November 4th, 2020, 10:03 am

funduffer wrote:
richfool wrote:For anyone interested in Next Energy Solar Fund (NESF),- Operating Update:
NESF is pleased to announce that generation for the first half of this financial year has significantly exceeded budget. For the period ending 30 September 2020, generation from NESF's portfolio was 11.1% above budget (2019: 5.0%), while irradiation has exceeded expectations by 10.8% (2019: 4.8%). The Company has reaffirmed its full-year dividend target of 7.05p for financial year ending 31 March 2021 (2019: 6.87p).

https://www.investegate.co.uk/nextenerg ... 00033959D/


Thanks for this, I recently took a small holding in NESF.

I interpret "irradiation has exceeded expectations" as meaning we had a sunny spring!


All of the year has been fairly good apart from July (average) and August (bad).

regards, dspp

Image

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Re: Investing in Green Infrastructure Funds (ITs)

#353538

Postby richfool » November 4th, 2020, 9:25 pm

An article about a fund that invests in this sector, - Gravis Clean Energy. It's holdings include both TRIG, JLEN and NESF:
Gravis Clean Energy: March crash shows need to go global
By Jeremy Gordon 17 Aug, 2020
March’s coronavirus crash has highlighted how divergent opportunities in renewable energy can be in different parts of the world, according to Gravis fund manager Will Argent.
His Clean Energy Income fund, launched in December 2017, has more than doubled in size this year from £51m at the end of December to around £120m on 11 August, as investor demand for sustainable investing has spiked.

https://citywire.co.uk/funds-insider/ne ... l/a1390718

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Re: Investing in Green Infrastructure Funds (ITs)

#353757

Postby PrefInvestor » November 5th, 2020, 12:40 pm

richfool wrote:An article about a fund that invests in this sector, - Gravis Clean Energy. It's holdings include both TRIG, JLEN and NESF:


Hi richfool, Hope you are well. I don’t do OEICs because of my brokers charges on these and concerns over “hidden” costs in OEICs, I am no believer in “active” management I’m afraid. INRG looking much better though and my buy at 915ish in profit now, no charges problem there. Might do EVEN better if Biden win is confirmed.

ATB

Pref

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Re: Investing in Green Infrastructure Funds (ITs)

#353787

Postby richfool » November 5th, 2020, 2:28 pm

PrefInvestor wrote:
richfool wrote:An article about a fund that invests in this sector, - Gravis Clean Energy. It's holdings include both TRIG, JLEN and NESF:


Hi richfool, Hope you are well. I don’t do OEICs because of my brokers charges on these and concerns over “hidden” costs in OEICs, I am no believer in “active” management I’m afraid. INRG looking much better though and my buy at 915ish in profit now, no charges problem there. Might do EVEN better if Biden win is confirmed.

ATB

Pref

I'm well, thanks PI,

Yes, likewise, I don't hold OIEC's/funds, preferring to hold IT's for their ease of trading, amongst other factors.

One of the reasons I looked at the article and at Gravis Clean Energy was to see what companies it invests in. (As indeed I do with many investment trusts). It was reassuring to note that Gravis Clean Energy held JLEN and TRIG, both of which I hold. Though I recently reduced my holdings of both, and bought into IEM. I have also just added some BERI (dividend yield: 6.47% discount to NAV: 13%.

Regards R

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Re: Investing in Green Infrastructure Funds (ITs)

#354649

Postby richfool » November 8th, 2020, 9:57 pm

A couple of recent This is Money articles about environmental/green investing:
The big green investing guide: How to make your pension and investments more environmentally friendly

https://www.thisismoney.co.uk/money/diy ... green.html

https://www.thisismoney.co.uk/money/inv ... ffect.html

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Re: Investing in Green Infrastructure Funds (ITs)

#355042

Postby PrefInvestor » November 9th, 2020, 10:52 pm

richfool wrote:A couple of recent This is Money articles about environmental/green investing:


Hi Again richfool, I see INRG went over 1000p for a while today, on Bidens win I guess, it fell back a bit later though. Still nicely in profit having reentered at about 915p.

ATB

Pref

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Re: Investing in Green Infrastructure Funds (ITs)

#355627

Postby Parky » November 11th, 2020, 5:47 pm

https://citywire.co.uk/investment-trust ... -news-list

Surely there must be too much money by now chasing the best projects. Another £670 million targetted money raising just announced- see Citywire article attached.

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Re: Investing in Green Infrastructure Funds (ITs)

#357147

Postby Bena48 » November 16th, 2020, 7:25 pm

Hi

I am looking for an IT with exposure to solar and wind energy across the states and rest of the world. Any suggestions?

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Re: Investing in Green Infrastructure Funds (ITs)

#360334

Postby richfool » November 26th, 2020, 4:11 pm

Bena48 wrote:Hi

I am looking for an IT with exposure to solar and wind energy across the states and rest of the world. Any suggestions?

Bena48, See the article that Parky linked to in the above post that EGL are launching a new
Ecofin, manager of the existing Global Utilities & Infrastructure Trust (EGL), is looking to raise $250m (£188m) with a portfolio of mixed US renewable energy assets benefiting from government incentives and fixed long-term revenue contracts of 10-25 years.

RNEW is targeting a total annual return on its investments of 7-7.5%, mostly comprising of a dividend yield of 5.25%-5.75%.

The company hopes to start with a $61m seed portfolio of four solar investments, two of which are operation and two are under construction but are expected to open in the next four months. It expects to be fully invested within a year given it has a pipeline of 86 potential investments worth $3bn.

Stifel Nicolaus Europe is broker to the launch and a prospectus is expected to be published soon.s

https://citywire.co.uk/investment-trust ... -news-list


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