Insurers re-think alternatives amid higher rates, new rules

With interest rates soaring in the past year and new regulatory regimes being implemented, the appeal of alternative investments is being scrutinised among insurance companies based in Hong Kong and beyond. An ultra-low interest rate environment in the years leading up 2022 meant that the search for a liquidity premium made alternatives highly appealing. With interest rates now at higher levels, the notion of safe-harbour fixed income looks relatively more appealing, investors say…