Bill Hughes Directing L&G's Growth in Private Markets Sector
Legal & General Investment Management Expands Private Markets Business
Legal & General Investment Management (LGIM) is making significant strides in its private markets business, with a focus on real estate, private credit, venture capital, and infrastructure equity.
Bill Hughes, the global head of private markets at LGIM, has been at the helm of this growth since his appointment in December 2024. Hughes joined LGIM in 2007 and has been instrumental in steering the real assets business for nearly two decades.
The private markets business at LGIM now manages approximately £65 billion in assets, a figure that has nearly doubled over the past five years. This growth is part of LGIM's strategy to increase private markets exposure to 10% by 2030, as outlined in the Mansion House Compact, a UK pension fund initiative.
Hughes sees Europe as the next frontier for investment in real estate. Residential, logistics, life sciences, data centres, and hoteling in Europe are top priorities for investment in real estate. LGIM's recent acquisitions reflect this focus, with the company acquiring a majority stake in Proprium Capital Partners, a US-headquartered private equity firm, in May 2025, boosting its real estate portfolio in Asia and Europe.
In late 2024, LGIM also acquired a minority stake in Taurus, a US-based real estate investment company with a focus on sustainability and retrofit development. These acquisitions are part of LGIM's strategy to grow its private markets business through a mix of internal capability and targeted acquisitions.
The thematic framework driving much of LGIM's investment outlook includes the "Four D's": Demographics, Decarbonisation, Digitalisation, and Deglobalisation. The growing demand for digital infrastructure is another area of strategic growth for LGIM, including data centres, fibre-optic, and towers.
Infrastructure equity is focused on clean energy and grid transition, with a fund of just under £1 billion. Venture capital stands at around £300 million, focused on the UK's innovation ecosystem.
Headcount across the private markets team at LGIM now stands at around 400. However, LGIM's group chief executive, Antonio Simoes, stated earlier this year that LGIM would not be making further acquisitions in private credit while valuations remain too high. However, in July, LGIM struck a private credit partnership with Blackstone, which could be worth up to $20bn by the end of the decade.
By 2027, LGIM will move into new headquarters on Coleman Street, a modern retrofit just 100 yards south of its current London Wall headquarters. This move reflects LGIM's commitment to sustainable development and its ambition to lead the way in responsible investment.
[1] Source: LGIM press release, December 2024.
- Legal & General Investment Management (LGIM) is expanding its private markets business, focusing on real estate, private credit, venture capital, and infrastructure equity, with a strategic goal to increase private markets exposure to 10% by 2030.
- Bill Hughes, the global head of private markets at LGIM, led the growth of the private markets business since his appointment in December 2024, and sees Europe as the next frontier for investment, particularly in residential, logistics, life sciences, data centres, and hoteling.
- LGIM's private markets business now manages approximately £65 billion in assets, having grown significantly over the past five years, and seeks growth through a mix of internal capability and targeted acquisitions like the one of Proprium Capital Partners in May 2025.
- LGIM's investment outlook includes thematic areas such as the "Four D's": Demographics, Decarbonisation, Digitalisation, and Deglobalisation, and strategic growth areas like digital infrastructure and clean energy.
