Inflation · 2021–2023
Revenue that can reset
Inflation-linked contracts and tariff resets helped revenues adjust as prices rose. The core benchmark returned 11.6% a year in this period.
Our strategies
Equity / Core
The Core strategy
Essential infrastructure.
Enduring cash flows.
We seek long-term ownership of operating infrastructure that delivers essential services. Our focus is resilient cash flow, contractual inflation protection and disciplined capital management.
The objective: preserve capital, generate sustainable income and compound value across economic cycles.
Select carefully.
Protect income.
Own for the long term.
Our investment approach connects asset selection, rigorous underwriting and active ownership. Each stage supports the same objective: durable income and long-term capital preservation.
Origination & asset selection
Select established assets that provide essential services, face limited competition and earn revenue through durable contracts or regulated tariffs.
Underwriting & risk mitigation
Test cash flows, counterparties, asset condition and contractual protections through downside scenarios. Invest at disciplined valuations with leverage the asset can sustain.
Active asset management
Maintain reliability, control costs and plan capital expenditure. Strengthen revenues and pursue selective improvements while limiting development and speculative exposure.
Cash yield & long-term compounding
Target sustainable distributions, reinvest selectively and manage refinancing. Preserve the flexibility to hold assets through market cycles and compound value over time.
Performance across market cycles
Core infrastructure combines essential services with contracted or regulated income. Its history shows how those features can support returns when markets come under pressure.
The inflation surge: core infrastructure led this asset-class comparison
June 2021–September 2023 · Annualised total return (%) · USD
Bars share a −10% to +15% scale; the vertical line marks zero.
- Core infrastructure11.6%
- Overall infrastructure11.2%
- US equities4.7%
- Global equities2.7%
- Core real estate2.5%
- US 10-year Treasuries-6.8%
- Global bonds-7.8%
Benchmark definitions
Core / overall infrastructure: MSCI Global Private Infrastructure Index, Low Risk / All. US equities: S&P 500 Total Return. Global equities: MSCI World. Core real estate: INREV GREFI. Global bonds: Bloomberg Global Aggregate Total Return. All in USD. The source labels US 10-year Treasuries without specifying a series identifier. Private infrastructure uses periodic valuations, which can smooth reported returns relative to daily traded markets.
Financial crisis · 2008–2009
Resilience still includes losses
Macquarie reports a 23.2% maximum core-infrastructure drawdown versus 48.6% for equities. The measurement starts differ: March 2008 for infrastructure and September 2007 for equities.
Applying the lesson
Read the contract, then the debt
For a Vietnamese asset, examine when tariffs reset, who pays, and when borrowing must be refinanced. These terms determine whether rising revenue translates into cash for owners.
Risk-adjusted return
The return earned for the risk taken.
Core infrastructure’s reported benchmark combined a 9.9% annualised return with 7.8% volatility. The comparison below puts that history alongside equities, bonds and real estate.
Core infrastructure on the risk–return map
31 March 2008–31 December 2025 · Annualised figures · USD
Swipe the chart to see the full comparison, or expand the figures below.
View returns, volatility and Sharpe ratios
| Asset class | Return % | Volatility % | Sharpe |
|---|---|---|---|
| Core infrastructure | 9.9 | 7.8 | 1.10 |
| US equities | 11.8 | 16.7 | 0.63 |
| Global equities | 9.2 | 17.4 | 0.45 |
| Global corporate bonds (high yield) | 6.6 | 12.2 | 0.43 |
| Global corporate bonds (investment grade) | 3.2 | 8.0 | 0.22 |
| Core real estate | 2.9 | 7.0 | 0.21 |
| US 10-year Treasuries | 2.4 | 8.8 | 0.12 |
| Global government bonds | 1.6 | 6.8 | 0.03 |
Reading the comparison
Higher points earned more; points further right fluctuated more. The Sharpe ratio measures excess return per unit of volatility. Core’s reported ratio was 1.10, falling to 0.96 after adjusting for appraisal smoothing.
Applying it to Core
Periodic private-asset valuations can understate fluctuations. Volatility also misses liquidity, refinancing and regulatory exposure. For our Vietnam focus, assess the contract, counterparty and debt structure alongside the benchmark.
Income from infrastructure, in context.
Core infrastructure averaged a 4.0% historical yield in this comparison, ahead of listed equities, government bonds and core real estate. For operating assets, regular income is a central part of the ownership case.
How core infrastructure’s income compares
31 December 2016–31 December 2025 · Average yield (%) · USD benchmarks
- Global corporate bondsHigh-yield + investment-grade average5.1%
- Core infrastructure4.0%
- Overall infrastructure3.6%
- Core real estate3.2%
- US 10-year Treasuries2.8%
- Global equities2.3%
- Global government bonds2.1%
- US equities1.7%
Yield is one part of the return
Yield measures income relative to asset value. Total return also includes changes in that value. The 5.1% corporate-bond comparison combines high-yield and investment-grade debt, with a different credit profile.
What matters for our Core strategy
For contracted power, toll roads and industrial utilities, focus on cash available after operating costs, maintenance, tax and debt service. Entry price and distribution rights determine how much of that cash reaches the owner.
Core infrastructure
HCMC project highlights
Hóc Môn · Ho Chi Minh City
Tân Hiệp 2 water treatment plant
Built to treat 300,000 m³ of water a day, Tân Hiệp 2 began commercial supply in 2017. Its treated water is sold wholesale to SAWACO for the city’s distribution network.
An essential service, an operating plant and a wholesale customer: a local example of the business model behind core infrastructure.
Water infrastructure behind the city’s daily life
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For investors, sponsors and developers
Allocation and Investment Requests
Investors can request an allocation to invest alongside us. If you are raising equity or debt for an infrastructure asset or platform in Vietnam or the region, tell us about it here; the answers help us see quickly whether it fits one of our strategies.
Every request is read by the team. You can also write to NDD@corvusindustries.com.
Related research
- Vietnam’s power investors fear contracts more than currenciesPrivate investment in Vietnamese electricity fell 96 percent in 2023 after pricing rules changed. Revenue certainty, not the dong, sets the cost of capital.
- Vietnam’s banks are carrying a load its capital markets should shareCredit has reached 146 percent of GDP, funded mostly by short-term deposits. Long-dated infrastructure needs deeper bond and equity markets.