Global X US Infrastructure Development

Details

The US Infrastructure Development UCITS ETF (PAVG) invests in companies set to benefit from increased infrastructure spending in the United States—from raw material extraction to heavy equipment production to engineering and construction.

At the end of 2021, the $1.2 trillion Infrastructure Investment and Jobs Act (IIJA) was signed into law, directing significant government funding to a range of infrastructure projects including roads, bridges, broadband access, electrification, and clean water initiatives. The legislation also supports the advancement of cleantech such as electric vehicle charging stations, carbon capture, and wind and solar power.

However, most programmes funded represent long‑term investments which will not translate into new projects until possibly the mid‑2020s. For reference, the Congressional Budget Office forecasts suggest the federal government will disburse 51% of authorised IIJA funding by 2026 and 86% by 2031. The gradual implementation of infrastructure funding in the US should generate tailwinds for investors for years to come.

Ticker: PAVGFull Name: Global X U.S. Infrastructure Developments UCITS ETF