Second(aries) to none: The springboard for private markets

Core infrastructure has delivered an annualised return of 9.9% since March 2008, with volatility closer to bonds than to equities. So how much of a portfolio should it occupy? In this episode of Pathways, Daniel McCormack, Head of Research at Macquarie Asset Management, is joined by Peter Bendall, MGIF Portfolio Strategy Lead, to unpack the latest Pathways paper on core infrastructure. They start with what core infrastructure is and why the case is being revisited now, as higher inflation, higher interest rates and a more volatile macro backdrop raise the value of inflation protection and defensiveness. The conversation then turns to mechanics: how regulatory models have evolved from cost-based to incentive- and performance-based approaches, why the relationship with the regulator matters throughout the life of an investment, and how sector positioning is shifting. The episode closes on portfolio construction, covering why core and core plus are complements rather than substitutes, and where institutional allocations sit today. For the full paper, including a transcript, and to explore Macquarie’s multi-asset capabilities: https://www.macquarie.com/about/company/macquarie-asset-management/institutional/insights/pathways/core-infrastructure-the-case-for-a-long-term-strategic-allocation.htmlSend our podcast team feedbackRelevant disclaimers and other information can be found here.

Private capital secondaries have gone from a niche liquidity tool to an asset class in their own right — and within secondaries, infrastructure is the fastest-growing corner of the market. In this episode of Pathways, Daniel McCormack, Macquarie Asset Management's Head of Research, is joined by Wandy Hoh, who co-authored the team's paper on infrastructure secondaries, to unpack why.Wandy breaks down the numbers behind the boom — a record year for secondaries volume, an infrastructure sub-sector compounding at over 25% annually, and a dry powder ratio that leaves the space meaningfully undercapitalized relative to demand.From there, the conversation covers how discounts actually work (and why they're not the same as returns), what good underwriting looks like, whether data centres are in bubble territory, and where secondaries fit for both new and mature infrastructure investors. For more information about this episode, including a transcript, please visit: https://www.macquarie.com/au/en/about/company/macquarie-asset-management/institutional/insights/pathways/infrastructure-secondaries-the-specialist-advantage-in-a-complex-market.html Send our podcast team feedback Relevant disclaimers and other information can be found here.Send our podcast team feedbackRelevant disclaimers and other information can be found here.

For decades, the grid was the most boring, unseen part of the energy conversation — until now. In this episode of Pathways, Daniel McCormack, Head of Research at Macquarie Asset Management, is joined by Audrey Lee, Research Analyst and author of the paper Grid Capex in the Age of Renewables and AI, to discuss why the electricity grid has become the binding constraint on the energy transition, the AI buildout, and industrial growth. They cover the $5.9 trillion investment gap and how it plays out differently across Europe, India, and China, the twin problems of aging and missing grid infrastructure, and how data centre demand is reshaping regulation, tariffs, and the race for behind-the-meter power.For more information about this episode, including a transcript, and to explore Macquarie's multi-asset capabilities, please visit: https://www.macquarie.com/about/company/macquarie-asset-management/institutional/insights/grid-capex-in-the-age-of-renewables-and-ai.htmlSend our podcast team feedback. Relevant disclaimers and other information can be found here.Send our podcast team feedbackRelevant disclaimers and other information can be found here.

In this episode of Pathways, Daniel McCormack is joined by Aizhan Meldebek, Macquarie Asset Management’s Global Infrastructure Strategist, to unpack the findings from her updated research on private infrastructure valuation multiples. Drawing on a proprietary dataset of over 1,300 real transactions going back to 2008, they explore why infrastructure multiples have largely normalised — and now sit at a rare discount to listed equities. The conversation covers how inflation and interest rates are the primary macro drivers of entry multiples, why the widely-held concern about dry powder pushing up valuations isn't supported by the data, and how sector dynamics play out across digital infrastructure, transport, utilities, and renewables. The episode closes with a forward-looking scenario analysis: what the current macro environment — higher inflation, steady-to-rising rates — could mean for infrastructure multiples ahead. For more information about this episode, including a transcript, and to explore Macquarie's multi-asset capabilities:https://www.macquarie.com/about/company/macquarie-asset-management/institutional/insights/pathways/infrastructure-valuations.htmlSend our podcast team feedbackRelevant disclaimers and other information can be found here.

AI dominates every conversation with infrastructure investors right now, but most of the commentary is either too breathless or too dismissive. In this episode of Pathways, Daniel McCormack, Head of Research at Macquarie Asset Management, is joined by Aizhan Meldebek, Global Infrastructure Strategist, and Anton Moldan, Head of US Digital Infrastructure at Macquarie Asset Management, to dig into where AI is actually creating value for infrastructure — and where the hype has run ahead of reality.Aizhan starts with the jobs debate before walking through her sector-by-sector "heatmap" of AI's impact across the infrastructure universe, from clear beneficiaries to more nuanced calls — and what it would mean for the asset class if the AI investment cycle disappointed.Anton then brings an on-the-ground view from data centre development, covering pre-lease capital risk, power availability, the training-versus-inference debate, and where enterprise AI adoption really stands today.Related content: What AI can't build: The enduring role of infrastructure in a disrupted world.https://www.macquarie.com/about/company/macquarie-asset-management/institutional/insights/pathways/what-ai-cant-build.html Send our podcast team feedbackRelevant disclaimers and other information can be found here.

Everyone talks about infrastructure as the assets you can see—grids, renewables, transport and digital. But there’s a second layer many investors overlook: the specialist service companies that build, maintain, test, secure, and modernise those assets. In this episode of Pathways, Daniel McCormack is joined by Andrew Olinick, Head of Private Equity & Adjacencies at Macquarie Asset Management, to explore the fast-growing universe of ‘infrastructure adjacencies’.  They discuss why these services are becoming essential as infrastructure ages, regulation tightens, and operational complexity rises. The conversation covers grid resilience and outage risk, vegetation management as a mission-critical utility spend, life extension and repowering in wind, and how drones, sensors, and AI are reshaping inspection and predictive maintenance. The episode also examines why data centre complexity and the cost of failure are driving demand for specialised engineering, cooling, certification, and physical security — and why this category can offer ‘defensive growth’ at the intersection of infrastructure and private equity.For more information about episodes, including transcripts, and to explore Macquarie's multi-asset capabilities:https://www.macquarie.com/about/company/macquarie-asset-management/institutional/insights.html#podcastsSend our podcast team feedbackRelevant disclaimers and other information can be found here.

In this episode of Pathways, Daniel McCormack is joined by Harlan Cherniak, Head of Infrastructure Debt and Co‑Head of Private Credit in the Americas at Macquarie Asset Management, to explore what’s really happening in private credit markets. They discuss emerging stress in certain sectors — particularly software — alongside more resilient opportunities in real assets and infrastructure debt. The conversation covers AI-driven disruption, structural discipline in credit underwriting, defaults, BDC redemptions, and whether current market volatility points to systemic risk or a more orderly adjustment. The episode also examines why infrastructure credit may offer durability, defensiveness, and attractive risk‑adjusted returns in an increasingly uncertain macro environment. For more information about episodes, including transcripts, and to explore Macquarie's multi-asset capabilities: https://www.macquarie.com/about/company/macquarie-asset-management/institutional/insights.html#podcastsSend our podcast team feedbackRelevant disclaimers and other information can be found here.

In this episode of Pathways, Daniel McCormack, Head of Research at Macquarie Asset Management, is joined by Liam Auer from the utilities investment team to discuss the investment implications of the current conflict in the Middle East. They explore how energy markets are responding, the outlook for inflation and growth, and what the shifting geopolitical landscape means for infrastructure investors — from renewables and networks to flexibility, resilience and security of supply. Explore Macquarie's multi-asset capabilities: https://www.macquarie.com/au/en/about/company/macquarie-asset-management/insights.htmlSend our podcast team feedbackRelevant disclaimers and other information can be found here.

This episode of the Pathways Podcast delves into the complexities of the current macroeconomic environment and its profound impact on asset classes. Daniel McCormack, Head of Research, hosts a discussion with Jüergen Wurzer, Deputy Head of the Global Multi-Asset Team, on navigating today’s volatile investment landscape. They discuss persistent geopolitical tensions, rising protectionism, and lingering inflation concerns that are shaping market dynamics.Explore Macquarie's multi-asset capabilities©2025 Macquarie Group Limited [4620205]Send our podcast team feedbackRelevant disclaimers and other information can be found here.

There is a clear shift in global priorities, moving from globalisation to more national interests. This is synonymous with a meaningful shift toward a prolonged fiscal-led era. However, many major economies are starting from a challenging fiscal position, raising concerns about debt sustainability, exacerbated by a high cost of capital and lingering inflation fears.If this major shift in priorities were not enough for markets to grapple with, the hasty and abrasive execution of these fiscal initiatives by the US has also roused an erosion of trust. This raises questions about the continuation of US exceptionalism, as well as the risk of a potential reevaluation of overweight positions to US assets.Listen as Brett Lewthwaite, CIO and Head of Fixed Income for Macquarie Asset Management, summarises Issue 01 of our Fixed Income Strategic Forum 2025, with Macquarie Asset Management’s Head of Research Daniel McCormack.©2025 Macquarie Group Limited [4537454]Send our podcast team feedbackRelevant disclaimers and other information can be found here.