Unleash the entire value chain of public assets

goldmountain

We work with all service providers and individually, with the entire value chain and selective parts, to help you;

  • Determine the potential value of all commercial assets, including real property holdings.
    • Applying asset tracing techniques we will surface a vast majority of asset that is held directly or indirectly by various governments entities
    • Utilizing historical data of real property transactions, we contemplate values for portfolio holdings
    • Analyzing the value of the aggregate inventory and utilizing a blend of property pricing techniques we develop an Asset Register and Indicative Valuation of your portfolio.

The monetization of these under-exploited real commercial public assets will likely require considerable innovation in capital markets and investment banking

Willem Buiter, Chief Economist Citi Group

  • Enable the attraction of public support for professionalizing the management of the portfolio. We help you produce an Annual Review, outlining the value and yield of the portfolio.
  • Establish credibility with the capital markets and other stakeholders we help you publish an audited Annual Reportthe first step to allow for professional governance and management of commercial assets.
  • Allow government to focus on the wider economic issues by fully delegating the management of the commercial portfolio to a dedicated holding company. We help you consolidate the commercial portfolio with the proper governance structure to minimize fiscal risk and fully delegate financial responsibility and accountability.
  • Put each asset to its most productive use, alternatively making clear the opportunity cost of using the asset in a sub-optimal way. We help you build a comprehensive business plan for the portfolio as a whole, as well as each underlying segment.
  • Extract value from the portfolio to boost economic growth and fund infrastructure investments. We help implement a hands-on active asset management that allows you to commercialize, optimize and potentially rationalize your commercial portfolio to the benefit of the whole of society.
    • Commercialization of public assets requires that a comprehensive business plan makes an assessment of all assets, including real estate assets that are unused, used by third parties, or directly used in the provision of public services, but that can either be relocated to more cost-effective/beneficial locations, or used to generate ancillary income.
    • Optimization requires economies of scale to be achieved across the entire portfolio.
    • Rationalization involves determining mature assets, which are those that have reached a fair value and where the proceeds from a sale can be reinvested in assets that are capable of yielding a higher return. Mature assets could be disposed of at the relevant point in the market’s cycle, as part of the broader business plan for maximization of yield across the entire portfolio. Monies generated from rationalization activities should be first made available as a source of funding for the achievement of the business plan and ultimately to fund other investments such as infrastructure investments.

To kick-start investments in infrastructure, we need to address the big issues, from rethinking accounting standards to creating a global infrastructure asset class.

Michael Heise, Chief Economist Allianz