Four months into 2019 and the S&P 500 is up 17% (price return), making it the seventh best start to the year for the index since 1929. One sector is just barely eking out a positive return: health care. The return spread between health care and the best-performing sector—technology—over just the first four months of the year is a staggering 24%.There are two main reasons why the health care sector appears to be on life support.
Tech advancements are transforming infrastructure opportunities in project finance.Funding for infrastructure assets has shifted with less coming from commercial banks and more capital coming institutional investors.Technology is impacting infrastructure with the telecom industry moving from 4g to 5g, causing a larger demand for location-specific data centers.An abundance of capital allows independent third-party trustees the opportunity to partner with many sources.
In the April issue of our monthly flagship publication, we feature:On the Record by Chief Investment Officer Tony Roth, where he sorts through a bevy of mixed economic data and brings clarity to the various leading—or perhaps misleading—indicators in determining how heavily to weigh each and whether to conclude that we are on the cusp of a recession.