The provision and operation of infrastructures has long been the domain of the public sector or of power companies themselves. This has changed fundamentally in recent years since the short-term and long-term need for investment has skyrocketed in both Switzerland and Europe. Along with the strong demand for capital around the world, there has also been a significant increase in opportunities to invest in infrastructure.
In particular, there are opportunities for institutional investors seeking long-term investments with stable revenue. Legislative changes in 2020 are also meant to establish infrastructure investments as a separate asset category for Swiss pension funds. This edition of the Zoom newsletter provides important information on this in two articles.
Investments in infrastructure will be a separate asset category for Swiss pension funds starting in 2020. Why is it worthwhile for investment managers to consider opening their portfolios to this asset category?