As the European geopolitical landscape continues to shift, Brookfield Asset Management expects megatrends such as the “Three Ds”—digitalization, decarbonization and deglobalization—to continue to generate opportunities to invest in long-term value and growth in the private markets.  

Companies and governments across the continent generally continue to support renewable energy and domestic manufacturing, and economic conditions in Europe—especially overindebted governments—mean that private capital is more important than ever in advancing these priorities.

Broadly, we see new opportunities for investment in critical infrastructure as European governments ramp up defense spending that may crowd out other priorities. Those opportunities will require new and innovative sources of funding. Europe's infrastructure requires an investment of approximately $15 trillion by 2040.¹

Changes in government and policy may have impacts on short-term drivers and create market noise, but we believe that few of them will change the principles that underpin these long-term trends and investment needs.  

Read More in Brookfield Asset Mangement's White Paper.

1.    Represents trends from 2016 to 2040 per the "Global Infrastructure Outlook" report published by Oxford Economics. Data sourced as of August 2023.