Canadian Pension Plans have 10% of their assets in Infrastructure Investments What are Infrastructure Assets? Infrastructure assets provide essential services in a supply-constrained manner to large portions of the population. Infrastructure businesses provide investors
• Transportation
• Financial technology
• Communication
• Information technology
• Power generation • Utilities
Predictable and Steady Income - Many infrastructure
assets operate as government-regulated monopolies and, as a result, enjoy high barriers to entry. These monopolies typically
- Historically, the performance of infrastructure securities has exhibited low correlation with other asset classes1,2 . This means that adding infrastructure
returns.
• Renewable energy
Why Invest in Infrastructure Assets?
• Cell towers • Data centres
• Midstream energy
result in the portfolio generating higher returns for the same amount of risk. - Revenues for many infrastructure and real long term returns. For other infrastructure assets, such as water and electricity utilities, the necessity of their services term as consumers absorb price increases.
Enhanced Risk-Adjusted Return Potential - Historically,
listed infrastructure has generated competitive performance relative to global equities with lower volatility3. The strong operational
with high barriers to entry produce sustainable, long-term returns in the form of attractive dividend income and capital appreciation. Correlation measures the extent to which two items move in the same direction. A correlation value of 1 means two items move closely in the same direction, while 0 means they do not move closely at all in either direction, and -1 means the items move in opposite directions.
1
Source: Infrastructure Investing: A Distinct Asset Class, InstarAGF, October 8, 2015.
2
Source: Cohen & Steers, Built to last: Investing in listed infrastructure, April 30, 2022.
3
Access global infrastructure assets with Starlight Capital Starlight Investments Capital LP (“Starlight Capital”) funds are actively-managed, concentrated portfolios of 25 to 45 global securities. Our portfolio managers have a long track record of delivering strong risk-adjusted returns with high active share and demonstrated downside protection. Starlight Capital is an independent Canadian asset funds and ETFs in October 2018. Since then, the team and its AUM have grown steadily reaching over $1B assets under management in 2022.
The Starlight Global Infrastructure Fund (NEO: SCGI) gives investors the opportunity to invest in large long-term assets that provide essential services. Globally listed infrastructure allows Starlight Capital to invest in sectors not available in Canada where we see value and we invite you to partner with us. Starlight Capital is a wholly-owned subsidiary of Starlight Investments.
