This article discusses infrastructure from an alternative investments perspective. It outlines the rationale for investing in developed country infrastructure and describes the global market opportunity segmented by geographic regions. It also touches upon regulatory and public policy issues and their effects on the investment opportunity set. Infrastructure’s risk/return characteristics and developing trends are also presented with a view to its potential role in investment portfolios.

In many ways, today’s infrastructure investment market is similar to the market of 2005 to 2007. A lot of capital is being raised by closed-end funds, and the asset class is attracting interest from investors who are new to the market. But one aspect of today’s market that was missing 10 years ago is there are more clear paths not only to exit investments but also extend those investments in order to continue to benefit from a yielding portfolio of mature assets.

When a new administration takes office, they often bring change. The current administration is no different. In fact, there may even be more change with this president than with past administrations. We have already seen changes to immigration, regulation, taxes and trade. The trade tariffs on China, as well as Canada, Mexico and Europe, may have ramifications for the infrastructure space, but of bigger note is the possibility of a new infrastructure spending plan proposed by the Trump administration that would potentially change the way the United States finances infrastructure projects from here on out