Harnessing Private Capital to Serve the Public Good
What We Do
Rebuild Infrastructure and Strengthen Pension Plans
Achaean Infrastructure was established to revitalize the use of public-private partnerships to address two national priorities – rebuilding America’s infrastructure and alleviating the stress on defined benefit pension plans.
By identifying and supporting vital, yet forestalled infrastructure projects through the creation of non-correlated, long-dated investments with high-alpha sought by pension plans, there is an opportunity to address these priorities, get people back to work and advance numerous resultant economic and societal benefits – both immediate and subsequent.
The absence of traditional Federal and State funding along with the current challenging economic environment has resulted in crumbling infrastructure, loss of a source of stable, good-paying jobs, and rising unfunded pension liabilities.
Utilizing the Achaean platform, we address critical societal challenges, creating added value, enhancing community improvement initiatives, and delivering significant public policy impact.
Repaired, Improved, and New Infrastructure
The American Society of Civil Engineers (ASCE) gave American infrastructure a grade of “D+.” (Penn Wharton: Public Policy Initiative, August 2017). There is an economic and societal imperative to address this deficiency, but public funds are scarce.
The Achaean platform facilitates public-private partnerships to fund the repair of crumbling roads, bridges, railways, airports, ports, broadband, renewable energy, and water systems, as well as new initiatives that address numerous societal needs at the intersection of transportation, health, and civic life.
Positive ESG Impact
The repair of existing infrastructure and the launch of new construction supports numerous environmental, social, and governmental enhancements, including:
- Opportunity Zone development.
- Supply chain localization.
- Workforce expansion and diversification.
- Best-in-class environmental practices.
- Incorporation of forward-looking technological enhancements like electronic vehicles, smart roads, carbon footprint reduction, water use eﬀiciency, and renewable energy.
Infrastructure projects create a substantial number of good-paying manufacturing and construction jobs. Additional opportunities are created in support of these eﬀorts and in the ensuing eﬀect improved infrastructure has on the surrounding community.
Strengthened Pension System
Pension plans with $12+ trillion under management face a $4 trillion funding shortfall to meet future defined benefit obligations. Achaean’s patented construct enables these plans to invest in non-correlated, high-alpha, long-duration infrastructure projects that can provide significantly higher returns, reduce pension obligation deficits, increase cash flow to cover current retiree payments, and improve asset/liability mismatches.
The Achaean Difference
Our value proposition leverages an innovative public-private partnership (P3) structure, utilizing Achaean Infrastructure’s patented annuity, designed for use with insurance Separate Accounts – a well-established, proven life company investment vehicle.
Sponsoring Entity Benefits
Achaean Infrastructure presents a new funding source for infrastructure investment and pension funds that requires no statewide tax increases and avoids capacity constraints, negative rating implications, and interest service costs of municipal debt.
Advantages over other investment vehicles such as limited partnerships, private equity funds, and direct investment include proven structure, governance, tax efficiency, flexibility, cost savings, and a liability shield.