INSIGHTS

On June 15, 2026

AAM Viewpoints — Global Infrastructure Outlook

Infrastructure has emerged as one of the most compelling segments within private real assets as global economies navigate an increasingly complex investment environment. In 2026, infrastructure sits at the intersection of several powerful macro forces — artificial intelligence (AI), geopolitical fragmentation, macroeconomic uncertainty, and the global energy transition — all of which are reshaping how capital is deployed and how value is created across regions.

Against this backdrop, Wilshire views infrastructure not simply as a defensive allocation, but as an asset class that reflects long‑term structural change. Demand for digital connectivity, reliable power generation, energy security, and sustainable systems is accelerating across developed markets, while private capital continues to play an expanding role in funding infrastructure development amid constraints on public balance sheets. The result is a broadening opportunity set that spans traditional infrastructure assets as well as newer, technology‑enabled and energy‑transition‑oriented investments.

Global Themes Shaping Infrastructure Investing

Artificial intelligence and digital infrastructure

Artificial intelligence has become one of the most influential forces shaping global infrastructure investment. The rapid scaling of AI applications has driven unprecedented demand for data centers, fiber networks, and related digital infrastructure, as well as the power systems required to support them. This surge in demand has positioned digital infrastructure as a central focus for private capital, attracting significant investment interest across regions.

While valuations for core digital infrastructure assets have become increasingly competitive, investor focus is expanding toward middle‑market and value‑add opportunities, where operational improvements, expansion capital, and development risk may offer differentiated return potential. The intersection of digital infrastructure and power availability has become particularly important, reinforcing the link between AI adoption and energy infrastructure investment globally.

Energy transition and sustainability

Energy transition continues to underpin infrastructure investment strategies worldwide. Across regions, governments and private investors are confronting the dual challenge of decarbonizing energy systems while meeting growing power demand driven by electrification, urbanization, and digitalization. Infrastructure investment has become a central mechanism for advancing renewable energy generation, grid modernization, energy storage, and electrification initiatives.

Although the pace and structure of the energy transition vary by region, Wilshire observes broad conviction in the long‑term necessity of capital deployment supporting decarbonization and sustainable energy systems. Infrastructure assets aligned with these objectives have benefitted from supportive policy frameworks, public‑private partnerships, and growing corporate demand for clean and reliable energy sources.

Geopolitics, localization, and resilience

Rising geopolitical tensions and increasing emphasis on economic security are reshaping infrastructure priorities. Governments are increasingly focused on securing critical assets, reducing supply‑chain vulnerabilities, and strengthening domestic energy and digital infrastructure. This shift has elevated the strategic importance of infrastructure assets that support national resilience, security, and economic independence.

As a result, infrastructure investment is becoming more regionally focused, with greater attention paid to regulatory frameworks, political stability, and long‑term policy alignment. Investors are increasingly selective, favoring assets with durable demand, contractual cash flows, and limited exposure to geopolitical disruption.

Regional perspectives

North America

In North America, infrastructure stands out as one of the most favored private real asset strategies thus far in 2026. Investment activity has been driven primarily by AI‑related digital infrastructure and energy systems required to support rising power demand. Data centers, fiber networks, renewable energy assets, and grid upgrades remain focal points for capital deployment.

Private capital has played a growing role in addressing infrastructure funding gaps amid constrained public resources. Fundraising remains strong across both core and value‑add strategies, reflecting sustained investor appetite for long‑duration assets with stable cash flows. While competition for high‑quality assets has driven valuations higher in certain subsectors, the opportunity set continues to broaden toward development, expansion, and middle‑market strategies.

Global Data Center Demand (GW)

As of 12/31/2025. Source: Goldman Sachs. Estimates shown are not guaranteed and are based off of market data available at the time of the source’s publishing. For illustrative and discussion purposes only. CAGR is compound annual growth rate.

Europe

Europe’s infrastructure market is heavily shaped by its leadership in the global energy transition. Ambitious net‑zero targets, supportive regulatory frameworks, and substantial public‑sector involvement have positioned the region at the forefront of renewable energy generation and sustainable infrastructure development.

Significant capital is being allocated toward wind and solar power, electric vehicle charging networks, battery storage, hydrogen infrastructure, and carbon capture technologies. At the same time, Europe faces challenges related to high development costs, supply‑chain constraints, regulatory price controls, and the intermittency of renewable energy sources, which have increased the importance of grid modernization and energy storage solutions.

Despite these complexities, Europe’s infrastructure opportunity set continues to expand and diversify. Assets range from traditional utilities and transport infrastructure to emerging sectors such as waste‑to‑energy, smart grids, and clean mobility. Wilshire expects Europe to remain a global leader in infrastructure investment related to sustainability, innovation, and climate adaptation.

Renewable Energy Generation Sources (Q1 2025)

Source: Eurostat, November 2025. For illustrative and discussion purposes only.

Asia‑Pacific

Infrastructure investment across Asia‑Pacific reflects a more differentiated risk‑return profile. Developed markets within the region have historically offered more attractive risk‑adjusted returns, supported by established regulatory frameworks, stable political environments, and consistent capital deployment. Infrastructure development remains robust, supported by post‑pandemic economic recovery and growing capital availability.

In contrast, infrastructure investment in developing Asia continues to face higher political, regulatory, and commercial risks, which have limited participation from global institutional investors. While long‑term infrastructure needs remain substantial across emerging markets, Wilshire views selectivity as essential, with a preference for developed Asia‑Pacific opportunities where legal and governance frameworks are more established.

Asia-Pacific Private Real Assets Fundraising Activity ($bn)

Source: Preqin, as of November 28, 2025. For illustrative and discussion purposes only.

Conclusion

Infrastructure investing in 2026 reflects a convergence of global megatrends that are reshaping economic systems and investment priorities. Demand driven by artificial intelligence, digitalization, energy transition, and resilience continues to expand the opportunity set across regions, while private capital plays an increasingly central role in funding infrastructure development.

Wilshire’s global outlook emphasizes selectivity, regional differentiation, and alignment with long‑term structural forces. As infrastructure evolves beyond traditional definitions to include digital, energy, and sustainability‑focused assets, we believe the role of infrastructure within private real assets — and within diversified portfolios more broadly — continues to strengthen.

CRN: 2026-0604-13518 R

The opinions and views of this commentary are those of Wilshire and are not necessarily those of Advisors Asset Management. Any forecasts or opinions expressed herein are Insight Investment's own as of May 2, 2026, and subject to change without notice.

This commentary is for informational purposes only. All investments are subject to risk and past performance is no guarantee of future results. Please see the Disclosures webpage for additional risk information at commentary-disclosures. For additional commentary or financial resources, please visit www.aamlive.com.

Wilshire believes that the information obtained from third party sources contained herein is reliable but has not undertaken to verify such information. Wilshire gives no representations or warranties as to the accuracy of such information and accepts no responsibility or liability (including for indirect, consequential or incidental damages) for any error, omission or inaccuracy in such information and for results obtained from its use.

This material is provided for informational purposes only and does not constitute investment advice, a recommendation, or an offer to sell or a solicitation to buy any security or to adopt any investment strategy.

This material may include estimates, projections, assumptions and other "forward-looking statements." Forward-looking statements represent Wilshire's current beliefs and opinions in respect of potential future events. These statements are not guarantees of future performance and undue reliance should not be placed on them. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause actual events, performance and financial results to differ materially from any projections. Forward-looking statements speak only as of the date on which they are made and are subject to change without notice. Wilshire undertakes no obligation to update or revise any forward-looking statements. Past performance is not indicative of future results.

Wilshire Advisors LLC (Wilshire) is an investment advisor registered with the SEC. Wilshire® is a registered service mark. Registration with the SEC does not imply a certain level of skill or training.

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