Foresight Capital Management expands into US with sustainable infrastructure fund

Foresight Capital Management has expanded into the US market with its appointment as sub-adviser to the Cromwell Foresight Global Sustainable Infrastructure Fund which launched on 31 January 2023. 

In a statement on 1 February, it said the newly formed partnership between FCM and Baltimore-based Cromwell Funds represents an expansion of Foresight's geographic footprint into the US - the world's largest asset management market.  

The Fund, a US mutual fund, will replicate the strategy of the FP Foresight Global Real Infrastructure Fund, managed by the FCM team. 

The UK and Luxembourg domiciled funds focusing on this strategy have raised gross inflows in excess of £1.1bn from investors since launch in June 2019. 

This success, it said, has been underpinned by FCM's sustainability-led, active and bottom-up investment approach that draws on the wider Group's experience in investing in private markets and applies these skills and knowledge to investing in public markets. 

FCM's capabilities and experience, alongside the strong and well-established distribution capabilities of Cromwell, would provide US investors with an attractive entry into a portfolio focussed on sustainable infrastructure, with a strong focus on the energy transition. 

The opportunity for the Fund and its investors is enhanced by the continued focus of global policies on decarbonisation, particularly the recent US Inflation Reduction Act, it further said.

Cromwell Funds service the needs of US Financial Advisors nationwide, providing them with investment solutions. The Fund would "benefit greatly" from Cromwell's distribution and marketing channels, with access to a dedicated Cromwell Funds sales team as well as access to over 70 existing broker-dealer agreements. 

These agreements provide distribution access to more than 70,000 financial advisers in the US.

Bernard Fairman, executive chairman of Foresight Group Holdings Limited, said: "The launch of Foresight's new US Mutual Fund in partnership with Cromwell is a transformational moment in FCM's journey and further expands our geographic footprint and strengthens our already resilient and diversified business model.

"The US market offers a significant opportunity for Foresight and over the next 12 months we will build both the scale of the Fund and the US profile of the Foresight brand."

Mark Brennan, partner at Foresight Capital Management, said: "The launch of this new US fund represents a significant milestone for FCM. As investor attention in the US increasingly turns towards sustainability, FCM's focus and track record in the UK and Europe puts us in a strong position to establish a distinctive proposition in the US market. 

"We are delighted to be partnering with the team at Cromwell Funds who have built a market-leading platform for managers such as FCM to efficiently access the substantial US financial advisor market."

Brian Nelson, president, Cromwell Investment Advisors, said: "We are delighted to have FCM join the Cromwell Funds and include their global infrastructure strategy in our product suite. This area of the market continues to receive increased interest by a wide range of investors. We look forward to introducing Foresight to the US marketplace and sharing FCM's high-quality investment approach with the financial advisor and institutional channels."