The rise of alternative asset classes has been a boon for investment trusts in recent years, thanks to the fact that such assets are often unlisted and illiquid. But a clamour among fund managers to get involved means some other options are emerging.
Take the digital infrastructure space. The two investment trusts specialising in this, Cordiant Digital Infrastructure (CORD) and Digital 9 Infrastructure (DGI9), have mopped up the cash since they both launched early last year. But while investors seem to like their strategy of buying private assets such as data centres that underpin the growing digitalisation of our lives, additional routes are also emerging.
In recent days Schroders has launched an open-ended fund that will invest in listed companies “facilitating a sustainable transition to a digital economy”, run by a team who have already focused on the sector within Schroder Global Cities Real Estate Fund (GB00B1VPTY75).