Electrification is moving from a secular theme to a portfolio-building challenge. Over the next 25-30 years, transportation, supply chains, and power systems are likely to become increasingly electricity-intensive, putting pressure on generation, transmission, and critical-resource availability. The portfolio implication is straightforward: Investors concentrated in the companies creating incremental power demand may also want exposure to the infrastructure, energy and resources required to meet it.
The Electrification of Everything
How to Invest in the Companies Solving Rising
Electricity Demand
Fund Spotlight
Bloomberg ETF IQ: How to Electrify Your Portfolio
Paul Baiocchi, Head of Fund Sales & Strategy, SS&C ALPS Advisors, joins Bloomberg ETF IQ’s Scarlet Fu and Eric Balchunas to discuss how a diversified exposure to real assets fits into a modern portfolio.
View Standardized Performance and Portfolio Holdings:
ELFY | SDCI | CCNR | AMLP | SMRF | ZSB
Paul Baiocchi is a Registered Representative of ALPS Distributors, Inc. and ALPS Portfolio Solutions Distributor, Inc.
Market Themes to Watch
As we enter the final quarter of 2026, the market is still refusing to give investors a simple playbook. At the start of the year, expectations centered on multiple rate cuts. Instead, investors have been forced to reassess the path of rates while an oil shock and geopolitical conflict have upended the outlook for energy. The lesson is not to stand pat. It is to build portfolios that can participate in long-term growth while broadening the sources of return and resilience beyond the exposures that have led the market in recent years.
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Electrification of Everything
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Real Assets
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Diversifiers
Real Assets
Real assets can give investors additional levers when inflation, geopolitics, and changing stock-bond relationships make traditional diversification less reliable. Rather than treat commodities, resource producers, infrastructure, and real estate as isolated trades, investors can consider them as complementary building blocks with distinct drivers of return. For portfolios dominated by financial assets, the practical question is whether a dedicated real-assets allocation can broaden diversification while adding exposure to the physical economy.
Diversifiers
Strong headline equity returns can mask meaningful changes beneath the surface. As leadership broadens across sectors, factors, and regions, investors have an opportunity to revisit portfolios built around US mega-cap concentration. Equal-sector weighting and developed ex-US dividend strategies can provide differentiated sources of return and help rebalance exposures that may have become concentrated after years of market leadership from a narrow group of stocks.