Peter Meany, Head of Global Listed Infrastructure, First State Investments share his outlook for the global infrastructure sector, as well as picks for the First State Global Infrastructure fund.

Disclaimer: Reference to specific securities (if any) is included for the purpose of illustration only and should not be construed as a recommendation to buy or sell the same.

Questions:

What's your view on the infrastructure sector in 2012?
- Good opportunities for the infrastructure sector in 2012
- Infrastructure is a market with defensive earnings
- Generous yield of about 4.5%

Versus broader equity markets, how attractive is the infrastructure sector in 2012?
- Underlying fundamentals should help infrastructure companies perform robustly
- Expected total return of about 10 to 12%

Are there any risks that infrastructure investors should be aware of?
- Equity risk in general
- Defensive qualities will allow sector to hold up well
- Political intervention will be a risk particular to the infrastructure sector
- Governments in many emerging markets have restricted returns on some infrastructure assets to control inflation

Within the infrastructure space, is there a particular investment idea you're strongly bullish and bearish on?
- Some structural growth stories continue to look good
- Some companies the fund is buying include a mobile tower operator and an oil storage companies
- More bearish on very defensive companies such as regulated utilities and energy pipelines due to less upside potential