As an asset class, GLI includes publicly traded companies that own and/or operate essential infrastructure that enable the functioning of national economies, international trade and global growth. Nomura defines the investable universe to include “pure” infrastructure companies which own and operate physical assets (eg utilities, ports and toll roads) rather than support existing services (eg data centres).
Nomura considers four types of companies to fall under this definition:
- Regulated utilities – such as electricity, gas, water and sewage
- User demand – such as airports, toll roads, railways and seaports
- Energy infrastructure – such as energy storage and pipelines
- Communications – such as mobile phone tower companies
“Infrastructure investing has many attractive characteristics, but sometimes you go through a period of time where a variety of different factors come together to make the asset class truly special, and a few of those are occurring now,” said Frishberg.
For example, Frishberg said the increase in equity volatility witnessed in 2022, 2025 and again in 2026, is demonstrating the defensive resilience of listed infrastructure as an asset class, and he expects to see more attractive investment opportunities as economies and markets moderate.
“While artificial intelligence (AI) companies are not infrastructure companies, the global AI boom that is occurring is creating meaningful demand for electric utilities around the world, which has led to sharply increased growth outlooks and very favourable stock price outlooks,” he added.
In addition to the defensive nature of the asset class, Frishberg said the diversification benefits should appeal to investors, it is a hedge against inflation, and the dividend yield of global listed infrastructure has always been higher than traditional global equities.