Navigating Infrastructure: Performance and Prospects in a Dynamic Market

Fourth Quarter Infrastructure Performance: A Broad Overview

In the fourth quarter, the S&P Global Infrastructure Index experienced a commendable increase of 2.2%. This growth was predominantly fueled by robust showings within the utility and transportation infrastructure segments, which demonstrated significant strength throughout the period. Conversely, the midstream energy sector presented a less favorable outlook, marking itself as the only area of notable underperformance.

PGIM Jennison Global Infrastructure Fund Z: Annual Returns and Key Contributors

For the full year ending December 31, 2025, the PGIM Jennison Global Infrastructure Fund Z delivered an impressive total return of 18.42%. This performance reflects a strategic allocation and active management approach that capitalized on strong market segments while navigating challenges in others.

Ferrovial's Sustained Growth and Market Resilience

Ferrovial continued its upward trajectory into the fourth quarter, showcasing sustained strong momentum. This was largely attributable to the steadfast performance of its core toll road portfolio and persistent high traffic volumes across North America, underscoring the enduring demand for essential transportation infrastructure.

Cheniere Energy's Market Fluctuations and Sector Challenges

Shares of Cheniere Energy faced headwinds during the fourth quarter, experiencing a downturn. This was primarily a result of softer natural gas prices and a broader weakening of investor confidence across the energy complex, illustrating the sensitivity of energy stocks to commodity markets and sentiment.

Resilience in Electric Utilities and Power Generation

Electric utility and power generation holdings within the fund demonstrated remarkable resilience, outperforming broader benchmarks. This stability was underpinned by consistent structural demand growth and a strategic positioning in regions characterized by grid constraints, highlighting the defensive qualities of these sectors in varying market conditions.