The Asian asset management arm of Prudential plans to keep alts at 5% of its portfolio, while the Korean Federation of Community Credit Cooperatives will nearly double its exposure to 15%.
While sympathetic to concerns over swaps-based ETFs, Kelvin Blacklock of Eastspring says fear of complexity is more to blame and explains why synthetics can sometimes work better than cash-based funds.
The UK insurer's Asian asset allocation team is eyeing European and US real estate for the first time and tentatively looking at boosting its alternatives exposure outside property.