RARE Infrastructure Emerging Market Commentary – June 2011
July 12 2011By Richard Elmslie and Nick Langley, RARE Infrastructure.
MSCI EM index posted a 2.0% decrease in local currency underperforming the MSCI World (-1.6%). In a month characterised by risk aversion and market volatility, mostly due to concerns over a Greek default and a slowdown in the U.S., EM …
RARE Infrastructure Value Fund Market Commentary – June 2011
July 12 2011By Richard Elmslie and Nick Langley, RARE Infrastructure.
Equity markets ended down (MSCI World -1.6% and EM -2.2%) in June amid protracted sovereign debt negotiations in Europe and continued concerns that the US “soft patch” may in fact be a stalling of economic growth. The IEA’s release of …
Sovereign Risk Is Rising In Italy…
July 06 2011By David Maywald and Ben May
The Italian government has proposed longer depreciation lives for toll road concessions, as part of a draft budget law to reduce the country’s deficit. This would result in higher cash taxes for the listed infrastructure companies Atlantia …
Increase in US Retail Electricity Prices Reflective of Supportive Regulatory Environment for Utilities
June 27 2011By Dan Simmonds, RARE Infrastructure
Retail electricity prices in the US increased by 1.2% (0.3% in real terms) in 2010 despite flat wholesale electricity prices (i.e. a flat cost of generation). The price increase was to a large extent driven by supportive regulators allowing utilities …
Strong Appetite for Offering of Chilean Water Utility, Aguas Andinas, Amidst Weak Broader Markets
June 23 2011By Dan Simmonds, RARE Infrastructure.
Aguas Andinas is a Chilean regulated water and sewage company listed on the Santiago Stock Exchange. Aguas serves 6.2m people (45% of Chile’s population), predominantly in and around Santiago. 94% of Aguas’ customers are residential customers and demand for water and sewage services is …
RARE Infrastructure Summary of Top 10 Stocks as at 31 May 2011
June 10 2011The Top 10 Stocks for RARE Infrastructure as at 31 May 2011 are:
1. Vinci SA (DG): Market Capitalisation US$34.1b
2. Abertis Infraestructuras SA (ABE): Market Capitalisation US$16.7b
3. MAp Airports (MAP): Mkt Cap $6.2b
4. TransCanada(TRP): Market Capitalisation US$60.4b
5. National Grid PLC (NG/ LN): Market Capitalisation US$34.2b
6. SES: …
Oil Price Impacts On Aviation
June 09 2011By Ben May, RARE Infrastructure
A high oil price can negatively impact the aviation industry by slowing economic growth, elevating cost bases of industry participants, increasing real airfares and reducing passenger demand. As observed by RARE Infrastructure, the effect on airlines and airports differ …
The Next Privatisation Wave
June 07 2011By David Maywald and Rod Chisholm
Negotiations between Greece, other Eurozone countries and the IMF have brought privatisations back into the spotlight, as a means of easing government finances. At the time of the announcement of the Greek rescue package in May 2010, RARE Infrastructure …
Tax carrot hits risk stick
May 30 2011By Alison Bevege, Financial Standard.
The Federal Government’s Budget efforts to coax superannuation funds into infrastructure may hit resistance as investment managers baulk at risking vast sums of pension money in greenfields projects with doubtful returns.
In the May Budget, Treasurer Wayne Swan announced …
The outlook for infrastructure
May 27 2011By Nick Langley and Richard Elmslie, RARE Infrastructure, Published by Morningstar.
Nick Langley and Richard Elmslie are senior portfolio managers and founders of investment firm RARE Infrastructure.
Infrastructure as an asset class offers investors the prospect of attractive returns, at …
