LONDON (ShareCast) - Investment firm 3i Infrastructure is becoming increasingly picky about who it pumps money into given increasingly volatile markets, but its portfolio is generating returns in line with expectations.

“Despite the challenging market conditions, in the first half of the year we have continued to invest in, and review opportunities in, high quality assets which match the company's return objectives,” said chairman Peter Sedgwick.

It has invested £103m since 1 April, with £87.6m into its portfolio of junior debt instruments and further investments in Infrastructure Investors (I2) and Alpha Schools, totalling £12.4m and £4.7m respectively.

A further investment of £1.9m was made into the Alma Mater Fund before it was sold in July, while £3.2m was returned by the 3i India Infrastructure Fund in June.

“Against an increasingly volatile market backdrop, the investment advisory team remains highly selective in evaluating potential investment opportunities and focused on achieving the target returns,” said Michael Queen, managing partner for Infrastructure, 3i Investments.

“3i Infrastructure's portfolio is continuing to perform in line with the company's return objectives,” added the company.

• News Channel