Sector Investment 8 Hours

Last updated: April 2, 2026, 8:30 AM ET

Real Assets & Private Equity

Ares Management successfully secured the final close for its latest US and European value-add real estate funds, with the US XI vehicle marking the firm’s largest-ever capital raise for a closed-end real estate mandate. This influx of capital comes as major institutional investors signal continued interest in tangible assets; VRS’s real assets director confirmed intentions to gradually increase exposure to real estate, noting that the asset class is currently outperforming benchmarks despite broader market headwinds. However, in the infrastructure space, current capital deployment capacity appears strained, as Global Summit attendees heard that modest capital overhang means the sector lacks sufficient dry powder to cover even one year of potential transaction volume in secondaries markets.

Energy Transition & Geopolitics

Geopolitical instability originating from the Middle East is rapidly reshaping investment focus within infrastructure, pushing the narrative away from pure decarbonization toward immediate energy resilience. Although private infrastructure funds have not yet formally adopted security-focused nomenclature, events such as the ongoing conflict are prompting a re-evaluation of energy project mandates, effectively turning the energy transition into an energy security imperative. This shift suggests future infrastructure allocations may prioritize localized, reliable power generation over purely long-term greenfield projects, impacting the deployment strategy for the capital recently closed by firms like Ares.