Impax is a market leading manager of both listed and private equity funds, which invest in companies and technologies that contribute to the transition to a more sustainable global economy.
The key impetus remains an increasingly urgent need for products and services that encourage the transition to a more sustainable global economy. That’s a distinct, specialist investment class, with massive scale and genuine growth potential. Impax is amongst the world’s leading investors in companies and industries specifically positioned to make that transition happen. It capitalises upon a recent dramatic increase in demand for ways to tackle the consequences of a more crowded planet, backed by awareness that climate change represents both an acute risk and, with expert guidance, a considerable investment opportunity.
FY18 results were impressively robust and the outlook is positive. The main drivers pivot on an expanding global population, rising living standards, natural resource constraints and climate change. Even in less supportive equity markets that should drive investment as the individual funds perform.
Looking forward, we forecast total AUM of £14.4bn (end FY19e) and £16.5bn (FY20e). In a more uncertain political and market backdrop we have assumed that the underlying investment performance will be neutral.
A 20 years track-record confirms Impax’s ability to grow AUM across market cycles. Recent growth has created a world leader in a fast-growing investment speciality. The operation is scalable and operationally geared, has broad competencies and global profile. That has positive implications for earnings and, as a unique asset itself, the group could attract consolidation interest in the future.
NB you can view a detailed (30 min) interview about the FY results and outlook with Ian Simm, CEO, and Charlie Ridge, CFO, here:
https://tinyurl.com/yaxvt8mn
