State Street Global Advisors, the asset management arm of State Street Corporation, has launched an exchange-traded fund focusing on infrastructure.
Alexis Marinof, head of SPDR ETFs, Europe, Middle East and Africa, said: “Infrastructure investment has low correlation with traditional assets, provides access to long-duration and inflation-linked assets and is less sensitive to business cycles.”
Key features:
• The SPDR Morningstar Multi-Asset Global Infrastructure Ucits ETF launched on the Deutsche Börse Xetra and tracks the Morningstar Global Multi-Asset Infrastructure IndexSM.
• The fund combines exposure to infrastructure equities and bonds.
• Minimum investment: one share on the exchange.
• Total Expense Ratio: 0.4 per cent.
IFA verdict
Chris Barker, chartered financial planner for Kent-based Apollo Pension & Investment Advisers, said: “There is a natural tendency to focus on something new such as infrastructure in investment.
“This fund should be well-diversified geographically because it is global but sector-wise, it is extremely tight. So there is a paradox.”
