My way is the Highway
Infrastructure fundraising hit a bump in the road last year, falling 50%. But a new report by Boston Consulting Group, Infrastructure Strategy 2024: Creating Value Through Operational Excellence, reveals that investor sentiment is proving resilient – much like the asset class itself. According to the report, LPs expect to boost their investments by more than $600 billion by 2027. This will be powered by an adjustment in transaction prices coupled with a need to return capital to long-standing investors, with plenty of dry powder waiting in the wings. However, as the report points out, there will be an emphasis on operational excellence with leading funds using well-constructed playbooks to drive value across the full investment cycle. The institutional dam might not be about to burst, necessarily, but anticipated capital inflows over the coming years show that infrastructure remains as solid as ever.
