Whitehelm Advisers plays an integral role in the construction of alternative portfolios, developed according to each client’s specific requirements
Alternative assets are not homogeneous – there are substantial differences within the alternative asset sector on the relative risk/return proposition, degree of cash flow inflation linkage, sensitivity to underlying economic cycles, and correlation with traditional asset classes.
With our significant experience within the alternative asset sector, Whitehelm Advisers help construct bespoke alternative portfolios for institutional clients. We employ a proprietary approach in assessing potential acquisitions and divestments (via the development of appropriate long-term risk-adjusted hurdle rates), and manage asset specific and market-wide risk exposures through a Risk Index overlay and factor-risk analysis.
Our asset specific risk assessment includes development of detailed scenario analyses and consideration of maximum loss scenarios for potential investments and existing assets. Infrastructure sector expertise is key to modelling appropriate scenarios and shocks, providing meaningful analysis for the investment process.
While asset specific exposures can be significant, market-wide risks can also aggregate across asset sectors, geography and vintage, and become more correlated at times during heightened financial stress. Accordingly our factor-risk assessment provides an additional overlay above the traditional elements typically used for portfolio construction and risk minimisation.
Peninsula Link is a 27-kilometre freeway located in South-East Melbourne connecting the suburbs of Frankston and Mount Martha. The project was procured under a Public-Private Partnership (PPP) which involved the design, construction in addition to the long-term maintenance and operation of the freeway. Peninsula Link commenced operations in 2013 and, given its structure as an availability PPP, is not subject to demand risk.
The Worsley Cogen Facility is a two unit multi-fuel cogeneration plant (550tph steam and 104MW electricity) that was commissioned in January 2014 and located in Collie, WA. It provides steam and electricity under a long-term contractual arrangement to South32 Limited’s Worsley Alumina Refinery.
Kinland owns a portfolio of 227 preschools and 18 care properties across Norway, Finland, Sweden, Poland and The Netherlands. Kinland is a pure asset owner, with long-term, inflation linked, triple-net leases with leading preschool operators. Contractual terms are typically for 15 to 20-years and often include additional 15-year extension options.
One of the world’s most experienced infrastructure managers & investment strategy advisers