PA PAVE Global X U.S. Infrastructure Development ETF Loading... : Bullish and Bearish Analyst Opinions

AI infrastructure, particularly data centers and the power grid, is the most interesting opportunity because demand for compute is real and exceeds supply, with energy being the single biggest constraint to AI build-out globally.

Since the post-2008 era, overweighting US dollar, credit, equities, real estate, and infrastructure has been enormously profitable. The dollar remains the unchallenged world reserve currency with no signs of a shift in its dominant shares of trade, FX reserves, SWIFT payments, and cross-border loans. US equities appear expensive on PE ratios, but PEG ratios are not out of line due to strong earnings growth. The lack of a viable alternative to the dollar and the continuing inflow of immigrants and innovation support staying long the US across all major asset classes.

US hyperscalers are spending $700B+ on CapEx, but the path to attractive returns on invested capital is unclear, especially on the American side. Chinese AI models may gain market share, making monetization even harder. Better positioned are the hardware companies that sell into AI regardless of which model provider wins, and energy infrastructure plays that feed data center buildout.

Infrastructure thematic ETFs will continue to play a big part in the broadening market, attracting attention and flows alongside other downstream trades.

Infrastructure is quickly becoming one of the largest and most exciting investment opportunities. The opportunity set has expanded far beyond traditional assets like toll roads and railroads to include data centers, telecom towers, solar, batteries, and nuclear. This expansion is driven by three durable themes—digitalization of everything, surging global energy demand, and supply chain rewiring for resiliency—that are more relevant today than five years ago and will run through the end of this decade and beyond. Government balance sheets are stretched and large corporates want their own supply-chain infrastructure, creating a large capital need that only private capital can fill. Infrastructure provides an attractive return profile with downside protection, recurring cash generation, and inflation protection, sitting between public equity and debt. Institutional investors have been large allocators for decades, and high-net-worth investors, while still under-allocated, are increasingly gaining access and are expected to follow a similar adoption path. Within alternative investments, infrastructure is expected to capture a disproportionate share of allocations going forward.

Multi-year trends in electrification, clean energy, and infrastructure are seeing huge investment flows and are themes the club likes, justifying heavier portfolio allocation to these spaces.

Liberty's energy and infrastructure investment portfolio, which includes direct asset ownership and credit with upside warrants, is delivering strong benefits in the current environment. The firm is positive on the sector and continues to allocate capital there.

Regardless of short‑term oil price moves, the US‑Iran deal reinforces a longer‑term shift: countries will spend heavily to secure energy supply chains and build new infrastructure. Energy infrastructure is therefore a high‑certainty, long‑term investment that should outperform.

The policy regime is shifting from supporting financial assets to rebuilding physical capacity (infrastructure, supply chains, industrial production). To express this industrial rebuild theme, take a long position in the PAVE ETF (PAVE) and pair it with a protective put (July 17, 2026 $55 put) to manage short-term risk from an overbought market. The put provides a floor near the 50-day moving average, limiting downside to ~6% while allowing upside participation.

Michael Every's thesis of a policy shift from supporting financial assets to rebuilding the physical economy (infrastructure, supply chains, industrial capacity) makes the PAVE ETF a direct beneficiary. To manage short-term market overbought risk, pair a long PAVE share position with a July 17 $55 put, establishing a long-term exposure with defined downside protection.

Michael Every's thesis that policy is shifting from supporting financial assets to rebuilding the physical economy (infrastructure, supply chains, strategic manufacturing) can be expressed via the PAVE ETF. The trade is a long position in PAVE shares paired with a near-term protective put to manage short-term market overextension risk.

Energy infrastructure is a real asset that holds up in inflationary environments and provides diversification from expensive tech stocks. The firm is actively putting clients into energy infrastructure positions.

Infrastructure is an attractive asset class for income with inflation protection, as it remains underwhelmed by the market and will benefit from structural CapEx trends.

Infrastructure, renewable energy, nuclear power, nearshoring, AI in education and health, biome technology, and defense are high-conviction investment areas due to the war, energy security concerns, and technological advancements, as these sectors will see increased demand and investment.

Geopolitical events have reinforced investment themes in defense, infrastructure spending, and energy security, making them attractive areas for investment.

Energy infrastructure companies, such as pipelines and LNG facilities, benefit from the need for stable energy sources and investments to avoid conflict zones like the Strait of Hormuz, with U.S. LNG replacing Middle East sources, creating a massive tailwind for revenue from volume-based fees.

The electrification infrastructure strategy ALFI, which includes energy, materials, industrials, and utilities, is poised for strong relative performance in the coming years due to CapEx commitments from utilities to accommodate growing electricity demand from data centers.

Asia equity markets stand to do very well due to AI and technology trends, and real assets like infrastructure and real estate are also good opportunities in the region.

The conflict has caused at least $60 billion in direct infrastructure damage in the Middle East, with hundreds of billions more needed for rebuilding and creating redundancies (e.g., storage, pipelines to reduce Strait of Hormuz reliance). This intensifies the fundamental need for infrastructure investment, which will attract private capital.

Regardless of the conflict ending, supply chain fortification is critical, and we see persistent opportunities in everything associated with critical needs of AI, robotics, supply chains, energy, and infrastructure.

Supply chain fortification for energy, raw materials, and infrastructure is a persistent investment theme regardless of geopolitical conflicts, driven by lessons from the pandemic and current tensions, with opportunities in areas like AI, robotics, and energy infrastructure.

Sectors related to energy, uranium, domestic electrical infrastructure, and industrials that sell into that are well positioned due to existing bottlenecks, reshoring trends, and the need for energy security, making them attractive investments.

The cleanest fundamental plays in the current environment are in energy, uranium, domestic electrical infrastructure, and the industrials selling into that sector, due to existing bottlenecks, reshoring impetus, and strategic importance.

Real estate and infrastructure assets provide constant returns and have inflation-hedging characteristics. They can pass on rent and electricity price increases to consumers, turning inflation into income. These are among the few asset classes in the green this year.

The energy crisis will lead to stronger headline inflation, with spillovers to second-round impacts like plastics, chemicals, and fertilizers. In Asia, this combines with a strong food price wave. Countries will look to improve supply resilience, potentially leading to stronger demand for energy infrastructure and alternative sources in the longer term.