Artificial Intelligence is an area of computer science that focuses the creation of intelligent machines that work and react like humans. See our independently curated list of ETFs to play this theme here.

Blockchain technology allows for a recorded incorruptible decentralized digital ledger of all kinds of transactions to be distributed on a network. See our independently curated list of ETFs to play this theme here.

ESG Investing is the consideration of environmental, social and governance factors alongside financial factors in the investment decision–making process. See our independently curated list of ETFs to play this theme here.

Marijuana is often referred to as weed, MJ, herb, cannabis and other slang terms. It’s the green or gray dried flowers of Cannabis sativa. See our independently curated list of ETFs to play this theme here.

An ETF For Infrastructure's Future

With infrastructure ETFs, structure matters. For example, the Global X U.S. Infrastructure Development ETF (PAVE) may prove to be more levered to trends in domestic infrastructure than some competing funds.

PAVE tries to reflect the performance of the Indxx U.S. Infrastructure Development Index, which is comprised of companies focused on domestic infrastructure development, including those involved in construction and engineering; production of infrastructure raw materials, composites and products; industrial transportation; and producers/distributors of heavy construction equipment.

Furthermore, infrastructure exposure could help protect against long-term inflationary risks since most infrastructure operators pass through the cost increases of inflation to users per long-term contracts that typically underpin the infrastructure business models.

“Public transportation systems should provide commuters with affordable and efficient means of traveling mid to long-range distances, but in US cities, they are either overextended or nonexistent,” said Global X in a recent research note. “The next generation of infrastructure should make them a viable option for urban and suburban mobility and promote their widespread adoption. Underutilized systems like high-speed water taxis should be built out, with new ports and routes adding to their feasibility.”

Pounding The PAVEment

How infrastructure dollars are spent is equally as important as knowing those dollars are earmarked for infrastructure in the first place. During 2016, presidential campaign, Trump promised to spend $1 trillion to shore up America’s sagging infrastructure, but politicians have clearly agreed to exceed that number. That promise is likely to be reiterated on the campaign trail this year.

“Transportation infrastructure should be assessed holistically. Optimized point-to-point travel requires interconnected transit systems to enable route efficiency assessment,” according to Global X. “Mobility as a Service (MaaS) addresses this idea, integrating public and private transportation options and presenting them to the public at a single endpoint – a smartphone. In a MaaS model, users can choose between affordability, speed, and comfort across the multitude of transport modes available.”

The $185 million PAVE holds 93 stocks from over a dozen industry groups, giving it one of the deepest benches and widest reaches among all infrastructure ETFs.

Compared to rival funds, PAVE is light on utilities and energy stocks while tilting heavily toward the cyclical industrial and materials sectors (94% of the fund’s weight).