There is a potential increase in electricity consumption in the United States due to various factors such as the buildout of new manufacturing facilities, data center infrastructure, cryptocurrency mining, artificial intelligence, and electric vehicles. The primary driver of this increase is expected to be data centers, with predictions that data generation will be twice as much as the past ten years. However, the availability of power is becoming a limiting factor for data center construction, as the power requirements have tripled in the past few years and the electrical infrastructure is not ready to handle the spike in high voltage power demand. Despite these challenges, this commentary highlights investment opportunities in the data center trend. Overall, the commentary suggests that the data center buildout is a multi-year trend with investment opportunities across various sectors.
This month’s commentary examines contributors and detractors from Q1 performance, as well as recent portfolio shifts, in greater detail.
This month’s commentary examines contributors and detractors from Q1 performance, as well as recent portfolio shifts, in greater detail.