You are now leaving BlackRock’s website

You are leaving BlackRock’s website and entering a third-party website that is not controlled, maintained, or monitored by BlackRock. BlackRock is not responsible for the content or availability of the third-party website. By leaving BlackRock’s website, you will be subject to the third-party website’s terms, policies and/or notices, including those related to privacy and security, as applicable. Please review such policies and notices on the third-party website.

Building for growth: Unlocking the power of infrastructure assets

The modernization of our infrastructure is essential to fostering a growing and equitable economy. Institutions are tuning into what we believe is a generational opportunity, not only for the potential portfolio benefits listed below, but as a powerful way to invest in the trends that will shape the future of our economy.

Portfolio positioning

Unlocking the power of infrastructure assets

In a market regime of higher macro and market volatility, infrastructure assets are poised to offer stable returns, inflation protection, diversification benefits and an opportunity to drive the energy transition forward.

icn performance

Resilient returns over time

Potential to deliver stable income and a return premium over fixed income and equities across different market cycles for the long-term
Balance icon

Inflation protection

Explicit and implicit linkages to inflation strengthen portfolio performance during high inflation environments
Diversification icon

Diversification benefits

Offers diversification in periods of market volatility due to its idiosyncratic risk characteristics and low correlation to other asset classes
Transition outcomes

The energy transition

The transition to a low-carbon economy is driving a surge in infrastructure investment.

Infrastructure as a potential inflation hedge

Infrastructure and inflation

Living with inflation

Staying ahead of inflation with infrastructure assets

Infrastructure is a unique asset class with characteristics that can provide resilience in the current rising rate and high inflationary macroeconomic environment.

Historical infrastructure outperforms during high inflationary times

The returns of private infrastructure companies tracked in the EDHEC 300 index increased by 23% through low growth and high inflation scenarios.

Explicit linkages to inflation

Infrastructure assets have long-term revenues that are often contracted or regulated in nature, with examples including power purchase agreements (“PPAs”) or take-or-pay contracts.

Source

The figures shown relate to past performance. Past performance is not a reliable indicator of current or future results.
Source
: Bloomberg, Barclays. EDHEC for Infrastructure equity; NCREIF for Global Real Estate; MSCI for Global Equities; and BBG Barclays Global Aggregate Index TR for Global fixed income, as of May 22, 2023 (annual data since 2001). The charts are based on an illustrative US economic scenario. Past performance is not indicative of future results. You cannot invest directly in an unmanaged index. High growth periods are when U.S. GDP > 2.5% and Low growth periods are when U.S. GDP < 2.5%. High inflation periods are when U.S. CPI > 2.5%.

Building more resilient portfolios

A dedicated infrastructure position, held as part of a broadly diversified long-term portfolio, has the potential to increase both the efficiency and durability of the portfolio’s returns. 

Risk/return relationship

Equity and fixed income relationship

The Great Moderation saw long-term bonds work as a cushion against risk asset selloffs. We think this era is over and strategic infrastructure allocations can help make portfolios more resilient.

Low correlation to other asset classes

Infrastructure equity exhibits low correlation to traditional asset classes due to its idiosyncratic characteristics.

Diversification benefits.

Our research finds that adding infrastructure to a traditional 60/40 portfolio, could increase returns while diversifying risk. The optimal portfolio allocation has a 35% exposure to infrastructure.

Source

Source: BlackRock, May 22, 2023, based on BlackRock's Capital Market Assumptions. Expected Returns are net of fees and expenses and calculated using a model fee equal to 0.30%, which represents the highest advisory fees charged for an institutional client. Expected returns also reflect reinvestment of dividends, capital gains, and interest but do not reflect the deduction of taxes. Had that expense been deducted, performance would have been lower. There is no guarantee that the capital market assumptions will be achieved, and actual risk and returns could be significantly higher or lower than shown. Hypothetical portfolios and risks shown are for illustrative discussion purposes only and no representation is being made that any account, product or strategy will or is likely to achieve results similar to those shown. Expected risk is calculated using the expected volatility assumptions. Expected risk is defined as annual expected volatility and is calculated using data derived from portfolio asset class mappings, using the Aladdin portfolio risk model. This proprietary multi-factor model can be applied across multiple asset classes to analyze the impact of different characteristics of securities on their behaviors in the marketplace. In analyzing risk factors, the Aladdin portfolio risk model attempts to capture and monitor these attributes that can influence the risk/return behavior of a particular security/asset. See "Capital Market and Modeling Assumptions". Past performance is not a guarantee or reliable indicator of future results.

BlackRock’s latest infrastructure insights

Jan 16, 2026

Discover how today’s infrastructure buildout — from modernized power systems to the rapid expansion of AI data centers — is boosting demand for skilled workers.

Nov 10, 2025

Infrastructure emerging managers deserve an allocation in your portfolio. Invest in partners for life today.

May 26, 2025

We explore the major structural forces driving what’s poised to be a transformational moment in infrastructure investing.

Mar 30, 2025

GIP President and COO Raj Rao shares his view of the infrastructure investing landscape, and how BlackRock and GIP are transforming the opportunity set.

Apr 25, 2025

Co-investments can provide LPs with the extra boost needed to achieve their portfolio goals. Gear up for infrastructure co-investments today.

Oct 24, 2024

Secondaries are now the fastest growing sub-segment in the infrastructure market. The time for infrastructure secondaries is now.

Contact the BlackRock Team

*Denotes required fields

Read BlackRock's privacy notice

Contact the team

Explore the opportunities aligned to your investment goals with our team of BlackRock experts

Additional resources

Insights hub

Stay ahead of the markets with insights from our strategists and portfolio managers, uncover the latest on the global economy, geopolitics and retirement among other timely investment ideas.

Explore all insights

On-demand event library

Our library of institutional events covers asset classes, macro economic outlooks and portfolio positioning tactics from experts across the industry.

Watch event replays

BlackRock

© 2026 BlackRock, Inc. All rights reserved.