Infrastructure investments can provide stable cash flows from "summary" of Institutional Investment Management by Frank J. Fabozzi
Infrastructure investments are known for their ability to generate consistent cash flows over an extended period. This characteristic makes them attractive to institutional investors seeking stable returns to meet their long-term liabilities. The predictable nature of cash flows from infrastructure assets can provide a reliable source of income, making them a valuable addition to an investment portfolio. This stability in cash flows is often attributed to the essential services that infrastructure assets provide, such as toll roads, airports, and utilities. These services are considered to have relatively inelastic demand, meaning that they are necessary for daily life and are less affected by economic downturns. As a result, infrastructure investments tend to exhibit resilience during times of market volatility, making them a preferred choice for investors looking...Similar Posts
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