StepStone Infrastructure and Real Assets 2H25 House Views

We are pleased to present our 2H2025 House Views on the state of the infrastructure market.

Our House Views are developed using a combination of top-down macroeconomic analysis and bottom-up insights drawn from the expertise of our 80+ infrastructure professionals, who collectively manage $121 billion in capital.

Our goal is to offer our clients sharp, actionable perspectives on the market.

Evolving considerations

Big picture: Global economic conditions remain challenging due to the Trump Administration’s volatile approach to trade, geopolitical risks and the uncertain outlook for inflation.

US tariffs

• The impact of the Trump administration’s tariffs are starting to affect input costs, particularly imported steel
• The changing position of the Administration on trade policy has led to an increase in uncertainty, which could have bigger repercussions on economic activity than the tariffs themselves

Geopolitics

• Changing US foreign policy, a confrontational approach to trade negotiations and uncertainty over the US commitment to international bodies is making it more challenging for business planning
• Reality of the cost of the net-zero transition is leading some countries to reassess their targets and pacing

Macro conditions

• Central banks are cautiously lowering interest rates however the near-term outlook is unclear
• Inflation is unlikely to return to pre-2022 highs, but the US and UK may remain at elevated levels for the near-term
• Near-term US economic growth forecasts are being revised downwards.

Read More From Stepstone