infrastructure

Hedge Funds

Is global listed infrastructure really an asset class?

Global listed infrastructure should not be classified as a separate asset class owing to the similarity of risk adjusted returns to global utility stocks, claims a leading academic. A presentation at the CSIRO-Monash Superannuation Research Cluster annual conference in Melbourne, given by associate professor Robert Bianchi of Griffith University, said the case was true for […]
Hedge Funds

Latent public sector need for infrastructure revealed

Excess investor demand for infrastructure assets will ease in the medium term as countries are forced to adapt to rising populations, more extreme weather, resource scarcity and digital disruption, believes QIC. And investors will play an increasingly proactive role in this pipeline of projects, often providing governments with ideas on how and what to build. […]
Hedge Funds

HOSTPLUS will never divest from infrastructure

HOSTPLUS will never divest from infrastructure, despite record valuations, because of the cash flow it brings into the fund coupled with the rarity of obtaining the asset. At a time of high valuations in the asset class, research by some organisations such as Frontier Advisors, has suggested the selling of infrastructure might be a good […]
Hedge Funds

Despite demand ADIA still sees value in infrastructure

There is still value in infrastructure, according to ADIA’s head of infrastructure, John McCarthy, provided you adopt a flexible approach. The huge sovereign wealth fund is reviewing its strategy, including whether it currently has appropriate benchmarks in infrastructure, a question that has been prompted by its outperformance.   The natural competitive advantage that the Abu […]
Hedge Funds

Infrastructure valuation is not just about price to earnings

Infrastructure valuations should have greater focus than just multiples of earnings to price, a panel agreed at the Fiducary Investors’ Symposium. Headlines focus on multiples, based largely on the Capital Asset Pricing Model (CAPM), but this can be misleading and a greater focus should be put on cash flow and management, agreed Colin Atkin, executive […]
Hedge Funds

Political uncertainty shakes infrastructure asset sales

An uncertain political climate effecting the surety of supply combined with increasing demand for infrastructure assets continues to put pressure on demand/supply dynamics, two leading Australian infrastructure investors agree. AustralianSuper and HOSTPLUS, who will be speaking at the Private Asset Conference in March, confirmed that low interest rates and a move away from equities has […]
Hedge Funds

IFM Investors enters the Mexican infrastructure market

IFM Investors is making its first investment in Mexico through a 24.99 per cent stake in a toll road on the outskirts of Mexico City. The investment is predicated in part on the forecast that Mexico will become the world’s tenth largest economy by 2030 – it is currently in fifteenth place. Julio Garcia, head […]
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