A Fund for Rebuilding America’s Infrastructure

Jim Woods

Jim Woods has over 20 years of experience in the markets from working as a stockbroker, financial journalist, and money manager.

There are some companies that can reasonably be expected to have their fortunes rise with the upcoming political agenda, regardless of whether the Democrats gain control of the Senate.

One issue that often gains bipartisan support is infrastructure spending, and one way to capitalize on that potential trend is through Global X U.S. Infrastructure Development ETF (PAVE). Indeed, PAVE is a market-cap-weighted fund that invests in the biggest names in U.S. infrastructure, so any increase in such spending by the federal government is sure to benefit these companies.

Construction, transportation and engineering are all industries that fall into this larger theme. The fund is focused primarily on U.S. companies, including ones that are involved in the production of raw materials and heavy equipment.

PAVE is up about 16% year to date. Its performance in the last few months has been particularly strong and may appeal to momentum investors. Assets under management currently total $661 million, and the expense ratio is 0.47%, which is approximately covered by the 0.45% dividend yield.

Chart courtesy of StockCharts.com.

PAVE trades at a small premium to net asset value. The fund lets investors buy and sell a broad basket of U.S. equities involved in infrastructure projects, while gaining the tax efficiency of doing so though a single investment.

Top holdings for PAVE include United Rentals, Inc. (URI), 3.82%; Fastenal Co. (FAST), 3.67%; Rockwell Automation Inc. (ROK), 3.38%; Trimble Inc. (TRMB), 3.34%; and Eaton Corp. Plc (ETN), 3.31%. The top 10 holdings make up 32.63% of PAVE’s portfolio, which contains 95 companies in total. The majority of these companies are classified as industrials.

Exclusive  Revealing a Real Estate Yield Play

For investors looking to play in the infrastructure space as the next administration begins work in Washington on Jan. 20, Global X U.S. Infrastructure Development ETF (PAVE) is one of the more popular and liquid ETF options out there.

As always, I am happy to answer any of your questions about ETFs, so do not hesitate to send me an email. You just may see your question answered in a future ETF Talk.

share on:

Like This Article?
Now Get Jim's FREE Special Report:
The Top 11 Dividend ETFs to
Buy Right Now

Get up to 5X the yields of traditional income plays.

Get Access to the Report, 100% FREE

share on:


Dr. Mark Skousen

Named one of the "Top 20 Living Economists," Dr. Skousen is a professional economist, investment expert, university professor, and author of more than 25 books.

Product Details

  • Forecasts & Strategies
  • Home Run Trader
  • Fast Money Alert
  • Five Star Trader
  • TNT Trader

Bryan Perry

A former Wall Street financial advisor with three decades' experience, Bryan Perry focuses his efforts on high-yield income investing and quick-hitting options plays.

Product Details

  • Cash Machine
  • Premium Income PRO (exclusively for subscribers of Cash Machine)
  • Quick Income Trader
  • Breakout Options Alert
  • Hi-Tech Trader

Jim Woods

Jim Woods has over 20 years of experience in the markets from working as a stockbroker,
financial journalist, and money manager. As well as a book author and regular contributor to
numerous investment websites, Jim is the editor of:

Product Details

  • Successful Investing
  • High Velocity Options
  • Intelligence Report
  • Bullseye Stock Trader
  • Eagle Eye Opener

Bob Carlson

Bob Carlson provides independent, objective research covering all the financial issues of retirement and retirement planning. In addition, Bob serves as Chairman of the Board of Trustees of the Fairfax County (VA) Employees’ Retirement System, which has over $2.8 billion in assets.

Product Details

  • Retirement Watch
  • Retirement Watch Spotlight Series
  • Lifetime Retirement Protection Program

Jon Johnson

Jon Johnson's philosophy in investing and trading is to take what the market gives you regardless if that is to the upside or downside. For the past 21 years, Jon has helped thousands of clients gain success in the financial markets through his newsletters and education services:

Product Details

  • Investment House Daily
  • Stock of the Week
  • Technical Traders Alert
  • Rapid Profits Stock Trader


Used by financial advisors and individual investors all over the world, DividendInvestor.com is the premier provider and one-stop shop for dividend information and research.

Product Details

Popular tools include our proprietary Dividend Calendar, Dividend Calculator, Dividend Score Card, and many more.

  • Dividend Investor