The Property & Infrastructure fund rose +0.9%, lagging the benchmark index which rose +2.1%.  

Infratil (+9%) hosted an investor day, which was closed with an upbeat presentation from datacentre operator CDC, foreshadowing major contract wins which were announced the following week. The 100MW of contracts announced are larger than CDC’s entire New Zealand footprint and is a welcome development after customer delays meant CDC missed earlier contracting targets in 2024. CDC has now secured 95% of the revenue it needs to deliver its target of doubling 2025 earnings by 2027. Longroad Energy, a US renewable developer provided a positive outlook, despite changes to tax subsidies. The company remains confident in the strength of its growing development pipeline that its equity needs remain similar to expectations prior to the subsidy changes.  

Aena (-6%) announced an ambitious €12.8 billion investment plan for Spain’s airports during 2027–2031, the largest in two decades. This initiative aims to expand and modernise airport infrastructure to accommodate rising passenger volumes and maintain high environmental standards. There was strong debate in the market about this development: pessimists pointed to lower levels of near-term cashflows during an investment phase and increasing levels of debt. Optimists pointed to AENA’s strong track record of valuation creation, favourable regulatory treatment and strong return on capital invested. The month also saw renewed tension with Ryanair over airport fee increases, with Ryanair announcing winter schedule cuts at certain airports, however it is growing its overall traffic with AENA. We believe the AENA investment thesis is intact, and the new investment plans will create more value for shareholders and a better airport experience for customers.