Blog
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The benefits of investing in infrastructure
The benefits of investing in infrastructure In volatile and challenging market conditions, the long duration of infrastructure investments – typically 20 to 50 years, and potentially even longer – can offer greater stability in an uncertain world Portfolio allocations to infrastructure are increasing, with investors enticed by the asset class’ elongated investment horizon. The…
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Financial Benefits of Using Crowd-financing for a P3
In addition to the social and political benefits of using crowd-financing for a P3, using crowd-financing to raise preferred equity as a portion of the capital stack allows the equity sponsors of a P3 to increase their Return on Equity (ROE) by reducing their common equity contribution. Assuming an interest rate on senior debt of…
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There are several options when crowdfunding investment for infrastructure projects
There has been a lot of hype around the new Title III crowdfunding regulations, but there are several other crowdfunding mechanisms under the JOBS Act already in place that may be better suited for infrastructure projects. Here is a review of the other investment crowdfunding regulations enabled by the JOBS Act and how they fit…
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Medium-term crowd-financing for accelerating infrastructure projects
Recent changes to securities law (2012 JOBS Act) allows for general solicitation of securities to investors (with certain limitations) through online platforms that offer investment opportunities to individual investors. Public agencies can now partner with a crowd-financing platform (CFP) to solicit medium-term loans from local and state investors who seek safe medium-term investment opportunities as…
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Understanding Employment: The Dynamics of a Productive Workplace
Employment is a cornerstone of economic stability, offering individuals opportunities to contribute to the growth of an organization while earning a livelihood. It’s a reciprocal relationship where employees provide their skills and time in exchange for compensation and benefits. This relationship fosters the growth of both the individual and the company. However, the evolving nature…
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Investors Finally Tap Into the US Water Market
Institutional investors are realizing the massive investmetn opportuntieis in U.S. water infrastructure; you should too. InfraShares helps you invest in opportunities previously only available to large institutional investors. Investing in water infrastrucutre provides exposure to assets that are uncorrelated with the stock market, inflation hedged, and provide an essential service with long-term stable returns 1-2%…
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Making the most of a wealth of infrastructure finance
Another great article from McKinsey on ways for public agencies and private investors to help facilitate private investment in public infrastructure. “It’s common today to hear that too much capital is chasing too few infrastructure assets. But the problem is not a lack of worthy projects; it’s a lack of expertise and, perhaps, daring. Investment…
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A hidden roadblock in public-infrastructure projects
A great article from McKinsey on the, often false, assumption that the public cost of capital is lower than private capital. Because the costs of public equity (taxes, grants, opprtunity costs, etc.) are not included with the cost of public debt when comparing to private investment, many P3s are not considered. Read More
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The Growing Evidence That P3s Are Delivering Value
Faced with constrained resources, government officials continue to turn to public-private partnerships (P3s) for various reasons, including maximizing capital resources, transferring risk, accelerating project delivery, achieving cost savings and enhancing accountability. This is particularly true for capital-intensive, highly complex infrastructure projects. But what evidence exists from projects that have been completed or are under construction…
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Build Your Portfolio With Infrastructure Investments
Investment in infrastructure provides many benefits including high returns, stability of returns, portfolio diversification, and inflation hedging. Currently, there are four main avenues for investment in infrastructure: Listed shares, listed funds, unlisted securities, and un-listed funds. While listed securities are the most accessible for all investors, there are very few infrastructure assets large enough to…