Timing a rotation into defensive sectors in 2019 will be critical as the longest-ever bull market draws to a close. Listed infrastructure is one such haven for investors.
With the rise of air travel, airports have become essential to the functioning of societies. RARE Infrastructure makes the case for investing in companies that own airports.
Is listed infrastructure insulated from the end of a market cycle, and if so, to what degree? RARE’s co-chief investment officer, Nick Langley, explains the market drivers for these stocks.
The listed infrastructure sector is notable for providing income and low long-term volatility. However, it’s important to recognise that not every stock in this sector contributes equally to that goal.
Chart of the Week
Chart courtesy of Clarion Partners. Sources: NBER, Moody’s Analytics, Clarion Partners Investment Research as of July 2019. Each year is the start period for each recession or expansion. Past performance is no guarantee of future results. This information is provided for illustrative purposes only and does not reflect the performance of an actual investment.
Chart of the Week
China’s latest tariffs focus on U.S. agricultural exports; financial markets are pricing in at least one Fed rate cut this year; U.S. consumers’ debt load reached $13.67 trillion, with student debt outstripping auto loans.
As air freight and passenger volumes grow, new investment in airport infrastructure assets represents a fresh source of opportunity.
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