Public sector project investor John Laing Infrastructure Fund (LON:JLIF) has carried out an audit of its investments following the Grenfell Tower tragedy and in particular the use of cladding systems and especially Aluminium Composite Material (ACM).
ACM, in use at the West London Tower at the time of the disaster that killed at least 80 people, was not widely used in its portfolio, the fund said, except in one high-rise building where it is working with the public-sector client at the project to ensure the safety of the residents.
This project represents approximately 0.5% of the portfolio, JLIF said.
The fund posted a strong rise in net asset value in its latest half year. The schools, hospitals and other PPP projects group increased net asset value by 11.5% to £1.204bn, with the interim dividend rising by 2% to 3.48p.
A shareholder vote recently allowed it to a more global investment remit The UK must still account for 50% but public sector or government-backed obligations that carry a satisfactory credit rating and where financial markets are relatively mature are now allowed.
“We will continue to source availability-based PPP projects and at the same time assess opportunities in new geographies and sub-sectors where the risk profile and characteristics are consistent with our investment mandate,” said the fund.