Investors, why shouldn't your digital infrastructure allocation be higher?

Institutional investors should consider allocations to digital infrastructure that reflect digital transformation as the core driver of the 21st Century economy, says a Partner at pioneering data center investor GI Partners.

In an interview with Cool Vector, Mark Prybutok, head of data infrastructure for the private equity firm that created Digital Realty, says he finds it "interesting" that in conversations with investors, some say they are "surprised" to see infrastructure managers with greater than 20% allocations to digital. "My response is, well why shouldn't it be higher?'" says Prybutok. "If you think about the physical underpinnings of the economy, and you think about what drives the economy. . . why shouldn't it be significantly higher than 20%, 25%?"

Prybutok estimates that some 30% of the S&P 500's market capitalization is made up of a small handful of giant tech companies like Meta and Alphabet. Of that, at least 50% of the growth comes from companies representing the digital economy.

Watch the full episode, "GI Partners, in Digital Infrastructure Since 2001, Has Advice for Newcomers," on the Cool Vector YouTube channel: https://www.youtube.com/channel/UCsLLhFmdf-5A4ibQH8BMNDg

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