Stay Defensive Boost Allocation to Infrastructure Assets

 In challenging markets for a 60/40 portfolio boost private assets allocation to include Infrastructure Assets    As investors look for diversify from the traditional 60/40 portfolio with rising stock markets and falling bond yields, examine infrastructure as an asset class.    · In an inflationary world with stable, inflation-adjusted cash flows, in critical asset backed, defensive assets complimented with income distributions and potential equity upside.     · With growing deficits world-wide the public sector will need to private infrastructure to build out critical areas including especially pertinent today energy independence.    Until 2040 there will be a $12 trillion financing gap for infrastructure globally.     Private Infrastructure: private infrastructure offers a more defensive profile with potential private equity like value-creation upside complimenting a private assets allocation.     1. RESILIENT UNDERLYING ASSETS: Invest in assets providing essential services with high barriers to entry. Energy & Utilities, Transport, Social Infrastructure, Telecoms, and Renewables     2. INFLATION-LINKED REVENUES: Infrastructure investments are structured with revenues indexed to inflation (naturally or contractually)     3. DIVERSIFICATION IN A PRIVATE INVESTMENT ALLOCATION: Infrastructure offers an exposure to different assets compared with traditional companies or real estate assets      4. A GROWING ASSET CLASS: Private Infrastructure asset class is significantly growing, with USD101bn raised between Q1 and Q3 2021     5. REGULAR INCOME DISTRIBUTIONS: Stable and predictable cash flows of underlying assets allow infrastructure to make regular distributions     6. LOW VOLATILITY IN REVENUES: Infrastructure deals generate revenues through concessions and long-term contracts with counterparts (governments, blue-chip infrastructure service providers, etc.)  Hosted on Ausha. See ausha.co/privacy-policy for more information.