We were on February 2012 in London invited as speakers at the Aviation Investment
Forum London 2012. We spoke about the opportunities in investing in Aerospace and Aviation infrastructure. Here are the main conclusions we´ve got from this interesting event.
- Aviation is a good business and highly specialized.
- Being a lessor pays off, although you need to really know very well your
- Engines do not loose value. They represent 1/3 of the cost of a new Airplane
and more than 2/3 of the depreciated value after 10 years.
- Leasing engines better business than leasing planes.
- Airline industry is highly resiliant.
- Airline business is the weakest point of the industry, with high volatility
and low returns.
- Aviation infrastructure are not just airports. Manufacturing, Logistics, Air
trafic Control and Management, Security, Space, etc...
- There are may opportunities around aviation.
- Airport business has low volatility and low returns.
- Asia Pacific is the place to look at. High growth in planes, infrastructures,
- Latam not a bad place to do business.
- The key word in Infrastructures is Privatization.