"Phoenix Group and Schroders to Launch £2.5bn Investment Manager"

01 Aug, 2024

"Phoenix Group and Schroders to Launch £2.5bn Investment Manager"

Future Growth Capital (FGC) marks a significant milestone as the UK’s first private market investment manager designed to align with the Mansion House Compact's objectives. Established through a partnership between Phoenix Group and Schroders, FGC aims to deploy up to £2.5 billion over three years, starting with an initial £1 billion commitment. Over the next decade, FGC plans to invest between £10 billion and £20 billion into both UK and global private markets.

FGC's mission is to enhance long-term returns for UK pension savers by facilitating efficient access to private market investments. By investing in UK and international businesses, FGC seeks to provide long-term financing to emerging companies, thereby supporting economic growth and job creation. The initiative will leverage Schroders’ Long-Term Asset Fund (LTAF) platform and aims to offer diversified exposure to innovative, high-growth companies.

The partnership will help address challenges in the UK pension system, where savers have traditionally received lower returns compared to their counterparts in other developed countries. By focusing on private markets, FGC will deliver better investment outcomes and promote the UK as a leading private market investment destination. The collaboration also supports the Mansion House Compact’s goal of enhancing long-term investment in UK businesses and infrastructure.

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