Infrastructure Investor presents its newest ranking: the top 30 infrastructure GPs – plus three emerging managers – generating alpha in the market
The internal rate of return has been the preferred choice for assessing investor performance for as long as the asset class has existed. More recently, DPI became the go-to metric as liquidity and deal activity dried up – but DPI has its own limitations, the most important being it cannot be used on a standalone basis.
That’s why we, along with SIPA, a part of PEI Group, developed the Infrastructure Investor Alpha 30, a new ranking of infrastructure managers based on the alpha they generate, underpinned by the collective score of their respective funds.
INSIDE THE II ALPHA 30 RANKING
The II Alpha 30: meet infra’s top alpha generators
Our new II Alpha 30 ranking aims to distinguish market tailwinds from manager skill. We examine what drives outperformance and how LPs are thinking about alpha generation.
THE INFRASTRUCTURE FUND MANAGERS GENERATING THE MOST ALPHA
| Rank | Manager | No. of funds | Pure Alpha (%) | Total Alpha (%) |
|---|---|---|---|---|
| 1 | Five Point Infrastructure | 4 | 20.55 | 20.45 |
| 2 | Vision Ridge Partners | 4 | 16.77 | 15.04 |
| 3 | EQT | 6 | 12.51 | 8.54 |
| 4 | Asterion Industrial Partners | 3 | 11.93 | 4.77 |
| 5 | Quaero Capital | 4 | 11.12 | 6.61 |
| 6= | EnCap Flatrock Midstream | 5 | 10.07 | 11.79 |
| 6= | Rockland Capital | 3 | 10.07 | 16.76 |
| 7 | Antin Infrastructure Partners | 6 | 8.76 | 4.00 |
| 8 | LS Power Group | 4 | 8.11 | 15.83 |
| 9 | Ares Management | 3 | 7.72 | 4.82 |
| 10 | iCON Infrastructure | 6 | 7.27 | 5.79 |
INFRASTRUCTURE INVESTOR ALPHA 30 | METHODOLOGY
The Infrastructure Investor Alpha 30 ranking is based on the return that managers add above the market, measured fund by fund and then aggregated to the manager.
Funds are ranked on Pure Alpha, the annualised return a fund delivered above a benchmark matched to its own declared strategy, net of fees. Managers are ranked on the realisation-weighted average of the Pure Alpha of their qualifying funds, where the weight is each fund’s realised share of total value, DPI divided by TVPI. A manager’s position therefore rests on the funds it actually raised, weighted by how much of each result has been settled in cash rather than held at appraisal.
See below to read the full, in-depth methodology.
Methodology: How we measure alpha
An in-depth explanation of how SIPA calculates the alpha that infrastructure managers are generating to collate the II Alpha 30.
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OTHER RANKINGS
In addition to the II Alpha 30, Infrastructure Investor compiles other infrastructure investing rankings.
What’s more, our affiliate titles also produce their own industry rankings covering private equity, private debt, and private real estate.
To view the latest rankings from Infrastructure Investor, plus those from PEI Private Credit, Private Equity International and PERE, simply navigate through the sections below:
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