September 2018 issue


    Month: September
    Year: 2018

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    Beware fake econometrics

    Transportation consultants are regularly misusing mathematical methods to flatter their models’ explanatory capabilities. Robert Bain explains how and why investors should heed the warning signals.

    ‘Latin America is a complex market, but the returns are worth it’

    Once beset by political and economic volatility, the region has become one of the world’s most attractive infrastructure investment destinations. Otavio Castello Branco, managing partner at Patria Investments, tells us why.

    Latin America’s enduring appeal

    While the region continues to experience some volatility and uncertainty – elections, slower-than-expected economic recovery and the lingering after-effects of corruption – infrastructure investors tell Kalliope Gourntis all the reasons that keep them coming back.

    ‘We live and die by the results of what we do’

    'Appalling’ timing gave founders Mike Dorrell and Trent Vichie a rough time at Blackstone. But that tough formative experience gave birth to one of the asset class’s standout operators. With their $7.2bn third fundraising behind them, we find out what’s next.

    Essential lessons from Australia’s asset-recycling programme

    Now the initiative has ended, with most of the available assets in private hands, Daniel Kemp looks at the risks of taking such large businesses private.

    Should infra investors take the nuclear option?

    The UK government wants institutional capital to finance its next generation of plants, although the proposal has raised some eyebrows. Zak Bentley finds out how this might be done

    Blackstone tried a 5% hurdle rate – its LPs pushed it up

    One investor said the original rate was ‘just not a standard hurdle’, as we take a closer look at the $5bn first close, one of the industry’s largest first closes for a debut fund.

    Why LPs don’t stress when GPs mess with the pref

    The hurdle rate is facing downward pressure; investors might just let it slide.

    Should states ditch intervention thresholds?

    Watching the German government tie itself in knots to prevent China State Grid buying into 50Hertz drove home how inadequate its laws are.