Publications

-

To read this full article you need to be subscribed to Listed Infrastructure in the Multi-Asset Portfolio: Though private investors cannot play in the institutional investors’ league, they can buy a portfolio of listed securities that gives them the same benefits

Listed Infrastructure in the Multi-Asset Portfolio: Though private investors cannot play in the institutional investors’ league, they can buy a portfolio of listed securities that gives them the same benefits

by Sheila Hopkins

Ask investors to describe the perfect investment, and they are likely to respond, “steady income, predictable cash-flows, equity-like returns without equity-like risk, low correlation to other asset classes and, maybe especially in this uncertain climate, an inflation hedge. And, oh yes, if it could increase returns while lowering risk in my portfolio, I’d like that, too.”

Unbeknown to many of them, listed infrastructure is just such an investment.

Because infrastructure assets provide essential services in both good and bad economic times, they are not as cyclical as other investments and, therefore, provide reliable income and strong diversification benefits, as well as downside protection if the markets begin to turn. The “essential service” nature of the assets also provides growth that is tied to overall economic activity, population growth and inflation.

“The fact that there is generally a global shortage of high

Glossary, videos, podcasts, research in the Resource Center

Forgot your username or password?