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Infrastructure positioned to outperform in 2024

Key points

  • Global listed infrastructure underperformed in 2023 owing to rising interest rates and a shift away from defensive assets. Relative valuations are now at compelling levels.
  • Infrastructure assets are expected to see earnings growth in 2024 and beyond, aided by structural growth drivers, especially utilities which are benefiting from energy transition.
  • Infrastructure capital expenditure should accelerate in 2024, despite a higher cost of capital.
  • Political and regulatory risks remain elevated but reduced customer bill pressures should provide some relief.

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  •   4 March 2024
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