Here’s an AI investment theme I don’t hear many people talking about.

Most people think of utilities as boring, sleepy stocks.

Yet over roughly the past 50 years, the U.S. utilities sector has generated equity-like returns while experiencing materially lower volatility than the S&P 500.

They've done so with:

• Higher dividend yields
• Stable earnings growth
• Better performance during bear markets
• Smaller drawdowns

The overhaul our grid needs is gargantuan and it’s going to take A LOT of capital.

Our PE partners are taking utilities private at cheap valuations and then pouring capital into them to grow market share.

Private ownership can provide the patient capital needed to make long-term investments that aren’t always easy to execute in the public markets.

There are many ways to play the downstream effects of AI where you can materially reduce the risk profile and still earn attractive returns.

I like making money and don’t really care how “boring” the investments are 😄