Expanding the role of domestic capital 

Infrastructure investment – both in Italy and further afield – also presents an increasingly compelling opportunity for domestic investors. Italy boasts an enormous private wealth market, with its private banking sector managing more than €1.3 trillion in assets.10 Historically, those assets have been underinvested, says Raffaella Cooper, Managing Director in Macquarie Asset Management, with large allocations to cash and government bonds.

Now, however, supportive European-level regulation is helping to open Italy’s private wealth and retail markets to a range of investment opportunities hitherto only accessible to institutions. UCI Part II and European Long-Term Investment Fund regulations enable Macquarie Asset Management to offer these investors access to, among other things, collective investment vehicles that provide exposure to infrastructure in Italy and beyond, Cooper says.

This promises a source of domestic funding for Italy’s ongoing national priorities, and access for investors to long-term infrastructure assets that offer diversification, capital appreciation and inflation protection, she adds.

Looking ahead – Italy’s next stage of growth

For Macquarie and its investors, Italy presents a significant opportunity. A positive political and economic outlook, and the need to develop the country’s infrastructure offer attractive tailwinds.

“We remain very confident in Italy’s energy story, the digital infrastructure theme, the transport sector and the social and environmental needs,” says Cooper. “It’s about remaining disciplined, trying to find pockets of value for our funds and our investors,” she says, “and providing on-the-ground delivery, over the long-term, to ensure those investments succeed.” 

Macquarie has been investing in Italy for more than 20 years. It opened a Milan office in 2023, with its Commodities and Global Markets business recently establishing an on-the-ground presence alongside Macquarie Asset Management and Macquarie Capital.

This local presence is increasingly relevant as clients execute more complex transactions and seek committed partners in Italy. Supported by its global platform, Commodities and Global Markets connects clients in Italy to international capital and liquidity, expanding their access to financing and risk management solutions. Conversely, as the country attracts further international capital, particularly in Milan, CGM can support global investors across growth areas such as real estate and logistics as well as risk management solutions through derivatives and private equity, complementing domestic banks’ capabilities.

“International financial sponsors are looking to invest in Italian assets and require funding and hedging solutions. Furthermore, Italian clients favour the innovative solutions we’re able to offer and having a local presence solidifies our commitment to the local market which clients appreciate,” says Gianfranco Simionato, Executive Director in Commodities and Global Markets. “Our global reach, paired with face-to-face conversations, helps deepen these relationships over time.”