Publications

- November 1, 2020: Vol. 13, Number 10

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The global listed infrastructure report: Essential news and notes

by Fraser Hughes

A recent real assets investor publication featured a survey of the top 100 global infrastructure investors who own an estimated $467 billion. These assets are held by pension funds, sovereign wealth funds, insurers and other institutional capital owners. 84 percent of those surveyed expected to commit the same or more capital to infrastructure over the coming 12 months.

On the flip side, the main hurdle to investing in infrastructure seems to be investors’ size, because purportedly, a meaningful allocation to the asset class is difficult among smaller funds. Of those who shun infrastructure, only 19 percent cited the risk-return profile or diversification benefits as off-putting. This was down significantly on last year’s 41 percent.

Illiquidity, unsuitability of available products and a lack of suitable external advice were all joint-second reasons for not allocating to infrastructure. Asked to describe the main obstacles, investors cited a range of factors. All o

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