A new report from global institutional investor and asset manager IFM Investors said that new AI data centres present significant investment opportunities as demand for electricity and fibre networks increases. “The AI revolution is expected to profoundly impact the infrastructure space – creating significant opportunities for investment and enhancing value of existing infrastructure. [It will] also bring about challenges,” said IFM Investors. “However, to fully harness its benefits, IFM believes it must be developed and implemented in ways that maximise its positive impact while proactively addressing potential risks such as cybersecurity and misinformation.” Sebastian Domenech, Executive Director, Asset Management at IFM Investors added that Generative AI is “expected to create sizeable economic benefits, given its potential to transform work and to accelerate technological development across industries”. The report also highlighted sustainable aviation fuel (SAF), renewable natural gas and the integration of renewable energy and digital infrastructure as offering opportunities in infrastructure investment. IFM Investors’ Investment Director Timothy May said that Australia has “natural advantages” which have the potential to “create a generational opportunity” for the country to become a “significant” global producer of SAF. IFM Investors is owned by a collective of 16 Australian superannuation funds.
