Direct Equity Investment Criteria
With our investment criteria as guidelines, we aim at delivering attractive, stable and non-cyclical returns with a robust downside.
PensionDanmark’s direct equity investments target real assets and stable corporate assets. Our preferred ticket size is approx. EUR 150m, but we will consider ticket sizes in a wider range.
Our main geographical focus areas are Western Europe and North America.
In assessing the risk profile we are very focused on downside protection. In that assessment we consider the below factors amongst others:
- Low demand risk
- Low correlation with the general business cycle
- Limited regulatory and political risk
- Preferably direct or indirect inflation linkage
- High barriers of entry
We have the ability to tailor the capital structure to meet the specific needs of our investments and can allocate additional funding to existing investments if required. We have the flexibility to participate in all layers of the capital structure.