While institutions have become increasingly cautious over the past several quarters in the face of heightened market volatility and denominator effect concerns, sentiment toward private infrastructure remains relatively strong and allocators are still trailing their infrastructure target allocations, according to the inaugural Infrastructure Allocations Monitor recently released by Hodes Weill & Associates and Cornell University’s Program in Infrastructure Policy.
A total of 63 institutions from 16 countries participated in this year’s survey, representing $6.8 trillion of aggregate assets under management and $325 billion of portfolio investments in infrastructure.
The survey found that on average, global institutions are underallocated to the private infrastructure asset class by 98 basis points relative to their targets, supporting expectations of increased capital flows into the sector. Overall 60 percent of respondents are underallocated to infrastructure,
