BMO Global Infrastructure ETF (ZGI.TO)

(A Top Pick Sept 2/14. Up 11.39%.) Infrastructure is the sort of thing that money is just pouring into around the world, as governments are trying to find ways to stimulate growth. This is far less likely to drop relative to traditional stock-based investments.

(A Top Pick May 22/15. Down 2.93%.) If you own, continue to stick with it.

When he looks at global infrastructure ETF’s, it always sounds like a pretty good idea. However, what he has found with any of these is that they’ve all got pretty much the same stuff in them. He didn’t go into this because he didn’t think there is enough diversification in the area to make it attractive for him. A lot of this is State infrastructure and he hasn’t been able to see where the money is being made.

The whole infrastructure space appeals to him. Pension funds, endowment funds, sovereign wealth funds are on a global hunt for infrastructure projects, and their main goal in that is to create a yield. We are all looking for yield and this is one of the longer-term trends that he really likes. There is also a sense that the infrastructure space can react positively to interest rates if they rise.

He wants to be involved with infrastructure. This one trades fairly well and the trend is upwards. Heavily into energy infrastructure. iShares has a global infrastructure ETF (CIF-T) which is less energy infrastructure weighted if you would like that. They are both performing relatively the same.

Likes this as it seems to be a little more diversified than some of the others. He would be fine with this.

Chart shows a trend of higher highs and higher lows from October. He does not have a seasonality for infrastructure. Generally they tend to be steady Eddie stocks. They don’t suffer from seasonal trends. From a technical perspective, the longer trend is quite good. There is some consolidation and there is support at about $33. It is forming a bit of a triangle consolidation. If it breaks down below support of about $33, then you want to stay clear of it. But if it breaks out, higher highs and higher lows will continue.

Infrastructure. When you look at tangibles and when you look at things that are going to be equity based, in a world where growth slows considerably you have to look for things that will pretty much guarantee to have money no matter what. Infrastructure is crumbling and everywhere you look they are rebuilding. This is a global product.

Global infrastructure. Performance has been fabulous. Wait for a correction and then get in for 5 years or more. Could get hurt more than some in an interest rate scare.

He likes infrastructure plays. He considers this to be a tangible product in that it is an inflation hedge. It is difficult in a non-inflationary environment to find hard assets that are doing well. Infrastructure and agriculture are the two obvious exceptions.

(A Top Pick May 23/13. Up 18.48%.) He likes infrastructure in all ways, shapes and forms. This one is maybe a little bit more US based than the iShare’s product. Infrastructure is doing extremely well and will be a good, safe way for a hard asset. Traditional commodities are not doing well.

This is something that he was looking at and sees nothing wrong with it because a lot of money is going to be spent on global infrastructure. Everybody is waiting for a bit of a pull back here, so let’s see what happens.

Utility stocks have basically sold off as interest rates have moved higher. Would continue to hold this as the FOMC have indicated that they want to try to keep interest rates down. This has given a bit of a lift to utilities. Wouldn’t be overweight on this sector.

Hard assets. Infrastructure is a little less volatile than traditional commodities. It is still global and an inflation hedge. Lot of global diversification.

(Top Pick Oct 5/12, Up 6.18%) Low volatility position. It is not currency hedged, which is nice right now.