Market momentum can no longer be relied upon to drive infrastructure investment returns, giving way to a likely extended time when active management, nimbleness and strategic value investing will be needed to create long-term value, according to Instar Asset Management’s president and CEO Gregory Smith. In a Q&A with Smith published in the November issue of Institutional Investment in Infrastructure, Smith discusses Instar’s strategy to invest in the more fragmented middle market, where companies are smaller and can be more responsive to the current macro trends.
“We believe a number of prevalent and emerging themes in our economy and society are shaping investment opportunities right now, including the security and resilience of critical supply chains and transportation networks; the ‘recycle’ and circular economy; food and water safety and security; technology-enabled critical infrastructure; energy transition and alternatives; and social infrastructu