The Stanbic IBTC Infrastructure Fund (the “Fund”) was established in June 2021, as a ₦100 billion Shelf Programme, registered under the Rules for Infrastructure Funds issued by the Securities and Exchange Commission. The Fund was launched as an alternative investment solution which serves to bridge the gap between the long-term funding needs of promoters of infrastructure projects and the needs of investors with patient capital.

Nigeria, like most African countries, struggles with infrastructure deficit and for a nation striving to achieve development, closing this gap requires around $3 trillion investment over the next 30 years. The Stanbic IBTC Infrastructure Fund is tailored to address the infrastructure deficit by providing infrastructure investments and support in critical sectors of the economy such as Energy, Transportation & Logistics, Gas infrastructure, ICT, Real Estate, Waste management and Water.

Also, the Fund targets investment in projects with:

• Credible sponsors and partners with good track record
• Strong cash flow prospects to meet periodic distribution requirements to investors
• Investment structures targeted at delivering inflation adjusted returns and premiums above the risk-free rate
• Positive social and environmental impact

The Fund will seek to deliver consistent returns above its long-term benchmark (FGN Bond) through careful investment selection, structuring and execution as well as investment monitoring, whilst communicating clearly and transparently with its investors. Thus, the objectives of the Fund are outlined below:

• Invest in projects that will generate a return commensurate to the level of risk involved.
• Invest in projects with positive multiplier economic and social benefit that accrues to not just the investor but to the country as the Fund will always prioritize projects that have and social development benefits to accelerate economic growth and development.

Fund Governance
The Fund is made up of three (3) levels of governance and these ensure there is adequate transparency to provide comfort to Investors. The three (3) levels comprise:

• The Fund Management Team. 
• The Investment Committee. 
• The Advisory Board. 

The Fund Manager has established a Fund Management Team led by an experienced Chief Investment Officer and other seasoned investment professionals with diverse skills. The team is responsible for deal sourcing, due diligence appraisal, execution, monitoring and exits as may be applicable. The Fund Manager is also governed by a well-diversified board who provides overall leadership and oversight function to the fund. 

The Investment Committee (IC) is a seven (7)-man committee comprising  seasoned professionals with over a 100years combined relevant experience in infrastructure investments. The IC reviews and approves deals presented by the Fund Management Team after a critical evaluation of the risk factors and compliance with the Fund’s mandate. 

The Advisory Board for the Fund is constituted to have oversight of the Fund’s compliance with its investment objectives and also on conflict of interest matters. The Board comprises one (1) representative of the Trustees, along with three (3) representatives of the investors in the Fund.
 

Why Should You Partner With Stanbic IBTC Asset Management?
Our extensive experience speaks for us. We have been serving Nigerians with expert investment management services for over two decades and as is our practice, we continue to lead the way in providing innovative solutions such as the Stanbic IBTC Infrastructure Fund to the investing public.

Stanbic IBTC Asset Management is one of Nigeria’s leading investment managers with a total of 16 Collective Investment Schemes for investors to choose from. This is the highest pool of funds managed by any Securities and Exchange Commission (SEC) registered fund manager in Nigeria. 

Stanbic IBTC Asset Management offers you flexibility and quality service. Our solid track record of excellence, evidenced in Asset Under Management (AUM) of ₦1.48 trillion as at 31st December 2023, spread across individual and institutional investors is proof of the value we bring to investors who trust us with managing their assets. 

Frequently Asked Questions
1.    Is the Fund open ended or closed ended?
The Fund is a closed ended unit trust scheme. This implies that units of the fund are only available for sale during specific periods for a defined timeline.

2.    Is the Fund a debt fund or an equity fund?
The NGN100bn Programme can invest in debt or equity.

3.    Who are the target investors of the Fund?
The Fund is designed for qualified investors including Pension Fund Administrators, Asset Managers, Insurance Companies, Development Finance Institutions and High Net worth Individuals.

4.    What does the Fund invest in?
The Fund targets investments in infrastructure projects within sectors such as energy infrastructure, gas infrastructure, healthcare infrastructure, transportation & logistics infrastructure, real estate infrastructure, and information and communication technology (ICT) infrastructure.

5.    What is the target return of the Fund?
The target return is 2% - 5% above the above the prevailing yield on the FGN Bond with a similar tenor to the remaining tenor of the Series.

6.    How many fund raises has the Fund undertaken and how successful has it been?
The Fund has undertaken three fund raises, two of which were consecutively oversubscribed. This reflects investor confidence in the vision and purpose of Stanbic IBTC as a facilitator of infrastructure development in Nigeria that boosts economic growth and ensures sustainable development.

7.    What sectors is the Fund currently invested in?
Currently, the Fund has invested in the gas, energy, healthcare, transportation & logistics infrastructure sectors. However, the pipeline of the fund will include the ICT sector amongst others.