Private infrastructure investment is developing rapidly as a global asset class. This evolution requires a clear and robust classification of the individual infrastructure companies that equity investors can acquire or debt investors can lend to. The Infrastructure Company Classification Standard (TICCS) was created by EDHECinfra to provide investors with a frame of reference to approach the infrastructure asset class. It offers an alternative to investment categories that were inherited from the private-equity and real-estate universe (e.g., “Core” vs. “Core+”), which may not be the most informative when trying to group infrastructure investments and design strategies or simply to document the structure of the sector.
TICCS is designed to be compatible with other standard investment-classification schemes, but it also uses fundamental insights from the academic literature to create a classification that embodies some of the key aspects of infrastructure businesses’ risk profiles.