Wealth Management
Infrastructure is emerging as a core allocation for advisors, and BlackRock is seizing the moment with the launch of its first active infrastructure ETF, the iShares Infrastructure Active ETF (BILT). The fund builds on BlackRock’s $10 billion passive infrastructure ETF lineup and the firm’s $183 billion infrastructure footprint, bolstered by its 2023 acquisition of Global Infrastructure Partners.
Managed by Balfe Morrison, BILT takes an active approach that aims to capture alpha in sectors such as utilities, transportation, energy, and data infrastructure, all of which are seeing heightened demand from AI adoption, digital growth, and shifting supply chains.
At inception, utilities make up the largest allocation, followed by transportation and oil and gas, with about two-thirds of exposure focused on North America and select opportunities in Europe and Asia. With yields around 3%, infrastructure provides the income and downside protection investors expect, but Morrison stresses that BILT also offers meaningful potential for capital appreciation.
Finsum: For advisors, the ETF offers diversification, inflation hedging, and exposure to long-term global trends, making infrastructure more relevant than ever in retirement and income-focused portfolios.
After bottoming in April, the stock market has staged an impressive rebound, but Stifel strategist Barry Bannister warns the rally may not last due to stretched valuations. He predicts the S&P 500 could fall as much as 15% to 5,500 but advises investors to stay in the market with a more defensive stance.
Bannister highlights high-yield dividend stocks as a classic hedge, offering steady income and stability in uncertain conditions. Ellington Financial stands out with an 11.5% yield supported by strong earnings and diversified mortgage-backed investments.
Meanwhile, Dorian LPG, a global liquefied petroleum gas carrier, offers an 8% yield with analyst support despite recent earnings volatility.
Finsum: Dividend stocks exemplify how income-focused strategies can help investors weather potential downturns while still capturing meaningful returns.
Private equity firms are increasingly exploring thematic investing as a pathway for growth, blending financial returns with measurable social and environmental impact. Summa Equity has pioneered this approach through a “theory of change” framework, focusing on themes like resource efficiency and tech-enabled transformation.
By investing across interconnected industries, the firm aims to tackle systemic challenges such as decarbonization while generating attractive long-term returns. This model contrasts with traditional ESG investing by emphasizing measurable outputs—like emissions reductions or improved quality of life—rather than compliance-based inputs.
“Brown-to-green” strategies, which transform undervalued, high-emitting businesses into sustainable leaders, can unlock massive value while addressing climate goals.
Finsum: While many large PE firms have been slow to adopt this cross-sector strategy, thematic investing’s potential to deliver both impact and superior returns suggests it could reshape the industry’s future.
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The investment banking industry has surged in 2025, fueled by heightened client activity, a rebound in underwriting and advisory services, and widespread adoption of artificial intelligence to boost long-term efficiency.
Leading investment banks include Goldman Sachs, JPMorgan Chase, Citigroup, Evercore, and Interactive Brokers. Goldman Sachs is benefiting from growth in its Global Banking & Markets division, a strong M&A pipeline, and rising revenues and earnings, while JPMorgan Chase emphasizes AI investments and expects steady net interest income growth despite macro volatility.
Citigroup is expanding private lending partnerships and posting strong earnings gains, Evercore continues to diversify its advisory and investment management revenue with robust capital distributions, and Interactive Brokers is expanding globally with new services and solid revenue growth.
Finsum: Overall, these top investment banks are positioned for continued expansion and shareholder value creation through 2025 and into 2026.
Artificial intelligence has remained one of the most resilient sectors in U.S. equities, with companies like Nvidia and Microsoft benefiting from rising adoption even as other sectors faced volatility.
With trade war and inflation concerns beginning to ease, analysts suggest AI growth could strengthen further, making direct exposure an appealing option for investors. ETFs provide one way to access this theme, but careful due diligence is essential in selecting strategies with the best long-term potential.
The Alger AI Enablers & Adopters ETF (ALAI) differentiates itself by using bottom-up research and active management to uncover overlooked AI innovators. Its proprietary framework emphasizes companies showing high unit volume growth or positive lifecycle changes, positioning the fund to potentially outperform passive AI ETFs.
Finsum: Investor interest is already growing—FactSet data shows ALAI attracted $40 million in net flows in July 2025, signaling strong confidence in its approach.
A new Northwestern Mutual study shows that while Americans are experimenting with AI in daily life and at work, most remain hesitant to rely on it for something as personal as financial planning.
More than half of respondents said they trust human advisors over AI for tasks like retirement planning and portfolio management, with only a small fraction willing to put that responsibility in the hands of algorithms. The survey underscores that money decisions are not purely analytical but tied to life goals, emotions, and family priorities—areas where people value empathy and nuance.
At the same time, nearly half of Americans say they are comfortable with financial advisors using AI behind the scenes, particularly younger generations who see technology as a natural extension of expertise. Gen Z and millennials, in particular, were more open to advisors who integrate AI into their practice, compared to Gen X and baby boomers.
Finsum: Americans want the best of both worlds: the efficiency and insights that AI can provide, paired with the judgment and human connection of a trusted financial advisor.