Accredited U.S. investors and smaller institutions can now make daily purchases through StepStone Private Wealth’s newly launched StepStone Private Infrastructure Fund. Dubbed STRUCTURE, this evergreen interval fund is available for daily purchase and is expected to hold its initial closing in the third quarter.
STRUCTURE offers a diversified private infrastructure portfolio with a focus on transportation assets such as toll roads, airports and mass transit, power assets including energy storage, distribution and renewables, and data facilities. The fund intends to engage in acquisitions of existing operating companies and fund interests, as well as to make direct co-investments and limited commitments to new funds.
“We believe that STRUCTURE is well-positioned to capitalize on major secular trends in digitization, decarbonization and demographics for the benefit of individual investors,” said StepStone Private Wealth CEO Bob Long. “STRUCTURE will leverage StepStone’s sector expertise, as well as the StepStone platform’s technology, research, and data advantages,” he added.
The fund was launched in response to increased institutional investor interest in allocating to infrastructure, which Long attributed to factors including the “inherent inflation protection opportunities, historically stable yield and potential for reduced volatility” offered by the asset class. The AW Research 2023 Manager Compendium found that infrastructure accounted for 9.1% of the $724 billion committed to alternative assets in the 12 months ending March 31.
STRUCTURE requires a minimum investment of $25,000 and will provide quarterly redemptions equivalent to 5% of the fund’s Net Asset Value for liquidity purposes. The fund offers several share classes tailored to different wealth management platforms, and StepStone plans to make it available to select mutual fund platforms via a ticker system for acquisition following the initial close.
StepStone had $143 billion in AUM as of June 30, of which $27 billion were in infrastructure.