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This market commentary may include forward looking statements, forecasts, estimates, projections, opinions and investment theses, which may be identified by the use of terminology such as “anticipate”, “believe”, “estimate”, “expect”, “intend”, “may”, “can”, “plan”, “will”, “would”, “should”, “seek”, “project”, “continue”, “target” and similar expressions. No representation is made or will be made that any forward-looking statements will be achieved or will prove to be correct or that any assumptions on which such statements may be based are reasonable. A number of factors could cause actual future results and operations to vary materially and adversely from the forward-looking statements. Qualitative statements regarding political, regulatory, market and economic environments and opportunities are based on the team’s opinion, belief and judgment.
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Past performance does not guarantee future results.
Diversification may not protect against market risk.
Market risk is the risk that all or a majority of the securities in a certain market – like the stock market or bond market – will decline in value because of factors such as adverse political or economic conditions, future expectations, investor confidence, or heavy institutional selling.
International investments entail risks including fluctuation in currency values, differences in accounting principles, or economic or political instability. Investing in emerging markets can be riskier than investing in established foreign markets due to increased volatility, lower trading volume, and higher risk of market closures. In many emerging markets, there is substantially less publicly available information and the available information may be incomplete or misleading. Legal claims are generally more difficult to pursue.
Currency risk is the risk that fluctuations in exchange rates between the US dollar and foreign currencies and between various foreign currencies may cause the value of an investment to decline. The market for some (or all) currencies may from time to time have low trading volume and become illiquid, which may prevent an investment from effecting positions or from promptly liquidating unfavourable positions in such markets, thus subjecting the investment to substantial losses.
Infrastructure companies may be subject to a variety of factors that may adversely affect their business or operations, including high interest costs, high leverage, economic slowdowns, surplus capacity, increased competition, commodity prices, regulatory and political developments, difficulty raising capital, and terrorist acts or political actions, and general changes in market sentiment.
The global financial crisis (GFC) refers to the period of extreme stress in global financial markets and banking systems between mid-2007 and early 2009.
Inflation is the rate at which the general level of prices for goods and services is rising, and, subsequently, purchasing power is falling. Central banks attempt to stop severe inflation, along with severe deflation, in an attempt to keep the excessive growth of prices to a minimum.
Stagflation occurs when persistent high inflation is combined with high unemployment and stagnant demand in a country’s economy.
The Bloomberg Global Aggregate Total Return Index measures the performance of global investment grade fixed income securities. This index is widely used as a benchmark for fixed income securities.
The Cambridge Associates Infrastructure Index represents a horizon calculation based on data compiled from 232 infrastructure funds, including fully liquidated partnerships, formed between 1994 and 2024. The Developed Markets sub-index comprises 199 funds; the Emerging Markets sub-index comprises 27 funds.
The US Consumer Price Index (CPI) is a measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services.
The INREV Global Real Estate Fund Index (GREFI) measures net asset value weighted performance of non-listed real estate funds on a quarterly basis.
The MSCI World Index represents large- and mid-cap stocks across 23 developed market countries worldwide. The index covers approximately 85% of the free float-adjusted market capitalization in each country.
The S&P 500 Index measures the performance of 500 mostly large-cap stocks weighted by market value and is often used to represent performance of the US stock market.
The S&P 500 Utilities Index measures the performance of companies within the S&P 500 Index that are categorized as members of the Global Industry Classification Standard (GICS) utilities sector.
The S&P Global Infrastructure Index is composed of 75 of the largest publicly listed companies in the global infrastructure industry. The index has balanced weights across three distinct infrastructure clusters: energy, transportation, and utilities. The “net total return” index reinvests regular cash dividends after the deduction of applicable withholding taxes.
Index performance returns do not reflect any management fees, transaction costs or expenses. Indices are unmanaged and one cannot invest directly in an index.
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