Four Italian pension funds unite for major push into private debt
Four Italian pension funds have combined their efforts to find an alternative investment manager to oversee mandates related to private debt.
The funds – Fondo Gomma Plastica, Fopen, Pegaso and Previmoda – have a total of €195m in commitments, which will result in a core strategy or unitranche corporate direct lending, with other strategies being added residually.
The group said the tender, known as the Zefiro Project, will focus mainly on the European Economic Area with particular attention on the domestic market, and may also include diversification on the US market. The funds will work as a consortium and focus on a wider diversification of alternative investment ideas.
This will also allow them to call upon the expertise of a wide array of fund managers to generate returns. The group said the use of collective work means they can produce more favourable commission levels.
The mandate period will close in March 2021, with the goal of making the strategies live during the second half of the year. Fondo Gomma Plastica provides pensions for workers in Italy’s manufacturing sector, specifically plastics and rubber; Fopen and Pegaso cover the Italian utilities sector; and Previmoda is the pension fund for Italy’s fashion and textile sectors.
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