Hi Everyone,

I’ve spent quite a bit of time this week thinking about the investment ideas that worked well the past couple of years and those that didn’t. I’m very disappointed that investing in infrastructure wasn’t particularly profitable. It should have been. It needs to be.

Here’s more on it,

Investing in Infrastructure

Knowing when to invest in a particular sector is important. I’ve always thought it was common sense. The U.S. needs to invest in infrastructure.

I had hoped the 35W bridge collapse in the Twin Cities was the wake up call. Perhaps it will be Hurricane Sandy or simply the fact that it’s just good sense. Our infrastructure is important to our global competitiveness.

Peter Coy wrote the following for Bloomberg Businessweek, December 10-16, 2012.

“Physical capital is underfunded. In 2009 the American Society of Civil Engineers gave the U.S. a grade of D for infrastructure. It’s doubtful that things are much better now; only about $100 billion stimulus program went toward roads, bridges, and other needs. Infrastructure investment would make the U.S. more competitive in the long run while creating jobs in the short run, and since the U.S. can borrow for next to nothing, the financing would be cheap.”

Opposition to spending is likely. But it is my humble opinion that wise spending shouldn’t be opposed and I have been convinced for a very long time that our infrastructure is one of those areas.

I wonder what my clients would do if I failed to keep my office infrastructure up to par? I don’t want to know. I just keep investing in it.

Until next week,
Susan R. Linkous

Note: Choosing to invest in a particular sector like infrastructure is not a guarantee for success. You can lose principal and experience greater volatility than those invested across all sectors. The opinions voiced above are for information only and are not intended to be specific investment advice. Please consult your advisor prior to investing.