AMP Capital Investors' multi-asset group (MAG) is exploring opportunities to bring external investors into its alternatives business, after incubating the private equity and opportunistic investment businesses for nearly two years.
"We can look at having clients that are sub-scale to invest alongside us and getting the benefit of our scale and the programs that we've built," AMP MAG head of alternatives Suzanne Tavill said.
"We think it is a good alignment to any other smaller client that is looking for how to build an alternatives exposure.
"You can imagine it is quite difficult. If you are small, how do you build a well-diversified program? How are you able to tap the level of expertise?"
The alternatives business consists of three asset class categories: unlisted infrastructure, private equity and a miscellaneous basket called opportunistic, which includes agricultural and shipping investments.
"Over $300 million has been invested in private equity. We've got a substantial amount - below $400 million - invested in infrastructure. We've got $250 million in opportunistic. We can go out to people and say we've committed a lot to what we are building and have confidence in what we are building," Tavill said.
She said there was an opportunity for smaller superannuation funds as well as other smaller institutional investors to participate in its alternatives investments.
"We are in discussions with groups, but these are long discussions, as the underlying assets can be locked up for 10 years or more," she said.
AMP Capital's Future Directions Funds are currently the largest clients and have a total exposure of about 9 per cent to alternative investments.
