ESG & Investing

UAE’s $30 Billion Alterra Fund Is Far Off Spending Bulk of Cash

  • Alterra was launched at COP28 as a model for others to follow
  • The fund is now trying to find deals with adequate scale

The COP28 Climate Conference in Dubai.

Photographer: Sean Gallup/Getty Images
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A landmark fund launched by the United Arab Emirates a year ago has managed to spend just a small fraction of its cash, as it tries to find deals suited to its mandate of investing in the energy transition.

The UAE unveiled plans last December to put $30 billion into the new fund, Alterra, with a goal of mobilizing $250 billion by the end of the decade. So far, Alterra has committed $6.5 billion to seven strategies managed by BlackRock Inc., Brookfield Asset Management Ltd. and TPG Inc. Actual funds spent, however, are significantly lower than that, according to its chief executive officer.