VanEck Vectors FTSE Global Infrastructure (Hedged) ETF (IFRA)
Asset Class: Infrastructure
Description: Passive, ETF
- The VanEck Vectors FTSE Global Infrastructure (Hedged) ETF (IFRA) invests in a diversified portfolio of infrastructure securities listed on exchanges in developed markets around the world with the aim of providing investment returns (before management costs) that closely track the returns of the FTSE Developed Core Infrastructure 50/50 Hedged into Australian Dollars Index.
- The strategy provides exposure to core infrastructure businesses in developed countries, such as transportation, energy and telecommunications.
- The exposure to infrastructure is designed to complement the portfolio's exposure to property and provide investors with a diversified source to inflation-linked income.
- In our view it is likely that based on current valuations infrastructure assets may be subject to sensitivities around changes in interest rates, more so than they have been in the past, which investors may want to be aware of.