How private capital can help address the world’s greatest challenges and deliver value for investors

14 Aug 2025 Reading time: 4 mins

Institutional capital has an important role to play in supporting the systems we all rely on – from healthcare and housing to energy and infrastructure. As demands on these systems grow, there is a clear need for long-term, private capital to complement public funding and help drive progress. 

The role of private capital in today’s investment environment 

Investors are navigating a complex landscape. Shifts in regulation, demographics and the global economy are creating new risks and new opportunities. Alongside delivering financial performance, many investors are also looking to future-proof their portfolios – by gaining access to long-term trends and building in resilience against uncertainty. 

That’s why purposeful capital is gaining traction – not as a trade-off, but as a strategy to enhance long-term value. Investing in areas like clean energy, social infrastructure, or supporting smaller companies enables investors to: 

  • Strengthen portfolio resilience 
  • Tap into sectors with strong tailwinds 
  • Create long-term value while supporting progress 

At Octopus Capital, we believe investing in areas of unmet need is not just compatible with strong performance – in many cases, it’s how you achieve it. 

Private capital in action – how our three pillars can help meet investor needs 

We invest across three key areas – real estate, infrastructure and private debt – to help institutions meet their objectives and deploy capital where it’s most needed. 

1. Real estate – supporting housing needs across the life cycle

Real estate plays a fundamental role in both economic stability and community wellbeing. We invest across the full lifecycle of housing – from first homes to later living – providing exposure to, and helping to address the effects of, major demographic trends such as an ageing population, continued urbanisation and regeneration, and challenges around housing affordability. 

Our strategies focus on both delivering and sustainably managing stable, income-generating assets that are shaped by real human needs. By developing and financing inclusive, resilient spaces, we help investors capture value from long-term demand, while contributing to a fairer built environment.

2. Energy & infrastructure – enabling the transition to a more connected future 

From the journey to net zero to the need for better digital connectivity – infrastructure is at the heart of many of today’s most urgent transitions, enabling economies to modernise and decarbonise. 

We invest in essential infrastructure that supports these shifts, delivering long-duration, often inflation-linked returns in the process. Our focus areas include renewables, digital infrastructure, and technologies that enable the energy transition, all of which are critical to a more connected, sustainable future. 

3. Private debt – flexible capital to support growth 

Private debt has emerged as a powerful tool for investors seeking income, diversification and downside protection. It also offers a way to provide scale to businesses making a positive impact. 

Our focus is on providing finance secured against predominantly renewable energy assets. We are also expanding our presence in SME lending by financing impactful businesses. In a higher-rate environment, private debt strategies can enhance portfolio income while backing progress where it matters most. 

Why Octopus Capital? 

Octopus Capital is part of Octopus Investments, a B Corp-certified asset manager, focused on delivering strong outcomes for investors and wider stakeholders.

We combine institutional rigour with an entrepreneurial mindset, backed by 25 years of experience identifying underserved markets and emerging opportunities. We were early investors in UK renewables and played a key role in making affordable housing a core component of institutional portfolios. 

Our approach is simple: make the complex accessible and always act with purpose. We build long-term partnerships with clients who want to do things differently – those who see opportunity where others might see obstacles. 

Stakeholder outcomes are embedded into our decision-making – not just as a marketing message, but as part of our governance. We’re proud to be in the top 10% of B Corps globally, reflecting our commitment to transparency, accountability and continuous improvement.  

Our investment strategies are designed to meet client objectives while helping to solve global challenges. And we do it all with the same spirit that powers brands like Octopus Energy: a belief in a brighter way to do business. 

Looking ahead – a brighter way for capital to lead 

Delivering performance will always be the core objective for institutional investors. However, in today’s environment, responding to real-world needs is often the most effective way to achieve it. 

We believe capital should go beyond ESG checklists and focus on real solutions. Because that’s how you generate real returns and build portfolios that stand the test of time. 

Octopus Capital is growing – and our ambitions are global. We’re expanding our presence across Europe and strengthening our venture capabilities through Octopus Ventures. We’re partnering with pension funds, insurers and private wealth clients who want to invest with impact and intention. 

Our goal is to become a leading provider of impactful, multi-asset solutions, directing capital toward the opportunities that will shape a more sustainable and inclusive economy. 

What will your capital stand for – and what future will it help build? 

Get in touch to find out more. 

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