November, 2020
The Fund currently holds 32 global infrastructure stocks and was up strongly for November, returning 7.1% and outperforming the reference index by 0.9%. Over the last year, the Fund underperformed the reference index by 0.5%. On the back of several positive vaccine announcements, the transportation infrastructure subsector had a very strong month in November. Toll-roads and airports rebounded strongly from earlier weakness as investors welcomed the prospect of a return to travel on roads and across international borders. Fraport was up 53% in local currency terms and fellow European airport Flughafen Zuerich was up 24%. Likewise Vinci, with its exposure to toll-roads and airports, saw an increase of 26% and Getlink was up 21% with the Channel tunnel outlook seen in a better light.
Infrastructure storage tank company Vopak lagged and was down 1% in November, its quarterly results essentially in line with expectations, but it was not positioned to benefit from the ‘recovery rally’ that was experienced during the month.
Similarly, regulated utilities in both North America and United Kingdom fell slightly in the month as their dependable earnings stability – a safe haven in previous months’ volatility, took a relative back seat in the vaccine-powered rally for November. Ameren Corporation and American Electric Power were down 4% and 5% respectively, whilst National Grid and Severn Trent were down 6% and 2% respectively.
File: https://commentary.quantreports.net/wp-content/uploads/2020/12/85-commentary.pdfticker: MPL0008AU
commentary_block: Array
factsheet_url:
asset_class: Property and Infrastructure
asset_category: Global Listed Infrastructure
peer_benchmark: Property - Global Listed Infrastructure Index
broad_market_index: Global Infrastructure Index
structure: Managed Fund