Asian central banks lead peers in asset risk buildup

Central banks have moved heavily into higher-yielding investments since the 2008 financial crisis, according to new research, and industry experts see that trend continuing, led by Asia. Some 15% of central banks’ holdings now sit in “unconventional” reserve assets – with 8.7% in return-enhancing bonds and 6.2% in equities – says a report by US fund house State Street Global Advisors and the Official Monetary and Financial Institutions Forum (see graph below). The research is ba…