Ecofin Global Utilities and Infrastructure Trust (LSE: EGL) invests in listed utilities and infrastructure businesses globally. As AI, data centres and electrification push power Demand higher, the strategy has caught the attention of UK income investors.

Key takeaways

  • AI data centres are projected to materially increase electricity demand (IEA, McKinsey reports).
  • EGL holds listed utilities and infrastructure globally.
  • The trust historically yields above the FTSE 100 - check the latest factsheet for current Yield.
  • Discount-to-NAV has fluctuated widely on rate-sensitivity.
  • Costs and gearing should always be checked on the AIC website.

Why utilities, why now?

Power grids face the largest demand wave in decades, driven by AI, electrified heating and EVs. The IEA's annual electricity reports lay out the projected curve.

How EGL is positioned

EGL combines regulated utilities (which earn stable returns) with growth infrastructure exposure. Holdings change - see the latest factsheet.

Discounts and yields

Listed infrastructure trusts often trade at discounts to NAV when rates are rising. The AIC tracks discount data daily.

What this means for UK investors

For UK investors seeking Inflation-aware income with a structural growth theme, listed Utility trusts like EGL can play a supporting role in a diversified ISA or SIPP.

Risks to watch

  • Sensitivity to rising long-term interest rates.
  • Regulatory changes affecting utility returns.
  • Currency exposure on non-sterling holdings.
  • Discount widening if income trusts fall out of favour.