Information contained on this page is provided by an independent third-party content provider. WorldNow and this Station make no warranties or representations in connection therewith. If you have any questions or comments about this page please contact firstname.lastname@example.org.
ENCINO, Calif., Dec. 18, 2013 /PRNewswire/ -- Wealthy individuals looking to tap into the growing demand for renewable energy now have access to a new solar fund.
The CEGA Solar Fund LP, recently launched by CEGAlliance, Inc., aims to generate yearly returns of 8-10 percent from solar systems installed on the roofs of residential, commercial and non-profit buildings. However, while these returns are attractive in today's low-growth economy, advisers caution that the asset class does have its risks.
The CEGA Solar Fund LP, which is targeting $50M, will invest in solar systems which are installed on properties at no expense to the owner or leaseholder. Returns are generated from the payments made by users for the electricity generated by the solar system.
"The fund will own the solar systems and receive the utility payments, then be distributed to the limited partners," explains the company's Chief Investment Officer, Mehdi G.H.
With a minimum investment of $500,000, the fund is not targeting mainstream retail investors but high-net worth investors who seek diversification and steady returns.
The Fund aims to deliver its first returns as early as 2014, with returns projected to rise to 10 percent per annum from 2015 onwards. "There is a big demand for this type of investment because of the projected steady returns," says Mehdi G. H.
Advisers say that in a low-growth, low-yield environment the low risk investment could prove to be extremely popular.
For more information:
©2012 PR Newswire. All Rights Reserved.