The Challenger Fund is one of the first funds that gives eligible investors access to VC/PE market investment opportunities.
The subfund is one of the first funds that gives retail, eligible investors access to venture capital/private equity market investment opportunities. The number of similar funds globally is estimated to be around the 200 mark (Pitchbook). To put into context just how innovative of a structure this is in VC, there are over 10,000 investors globally classified as “Venture Capital” funds.
Despite investing in disruptive and innovative industries, the landscape of VC fund structures has largely remained unchanged. For years, funds have been raising capital through closed-ended vehicles, usually not available for retail investors. This refers to a management company raising a set amount from external investors via a limited partnership legal structure for a fixed number of years, usually 10. After this process, the doors close, money is put to work and there is not much flexibility for investors.
Open and close reflects whether a fund has a defined end date and fixed level of assets under management. Closed-ended funds raise a set amount and then are legally required to terminate at a set future date. Open-ended funds can continue as an ongoing investment vehicle and raise or redeem capital. Open-ended structures make it easier for investors to invest due to the cleaner and more transparent subscription and monitoring process.
In our case capital is invested directly into the fund on an ongoing basis with no termination date, subjected to 3 years lock-up period. Investors buy units of a fund and they can buy more, or sell, whenever they wish, based on specific redemption regulations and constraints – says Jasper de Trafford, director of Anderton SICAV plc.
Impact investing
Anderton SICAV plc invests with the intention to realize positive change, combined with a mid-term healthy financial return. This intention is our starting point and driven by the notion that money is a means and not an end in itself. Focusing on both social and financial return will result in an optimal allocation of capital, equally for both our investors and investees. - We believe an investment process that integrates diversity, environmental, social, and governance (“ESG”) factors enhances our ability to manage risk and create value for our investors – says Joanna Stec-Gamracy, Investment Committee Member.
Our pure-play impact investment strategy is aimed at an increasing number of investors who seek a capital investment that is guaranteed to make a positive environmental, digital and social impact in addition to its economic objective of midterm high-yield returns.As a multi-asset class investment company Anderton is focused on preserving and growing capital over an extended horizon, we are keenly focused on responsible investment practices and stewardship of capital at all levels of the investment process.
The company supports efforts to implement ethical code of conduct (“Politethical Code”) in politics and business, drafted by Przemysław Kroczyński, a Polish philologist, Romanist, activist and prominent investor. The task of the Code is to define necessary ethical standards, which should be respected by all politicians having any influence on the life of an ordinary citizen and business, focusing on diversity and solidarity.
