China Life Overseas and Manulife Asia will stick to pivoting portfolios towards fixed income assets into 2024 in preparation for a high-rate environment and evolving insurance rules.
Some family offices are moving towards conservative asset allocations as concerns about markets grow and a risk-off impulse takes hold.
Some family offices in Singapore are staying away from private markets for now, and only looking at selective opportunities as concerns about the market outlook linger. Liquidity and liquid assets are a key priority as of now.
Asian asset owners are becoming more selective in private credit strategies for safe illiquid premiums with lender-friendly terms.
Large asset managers such as UBS, BlackRock, and Fidelity are looking to exploit their resources in Asia as asset owner interest and market opportunities point to a promising future.
In partnership with Nuveen
Even as traditional fixed income offers more attractive rates, institutional investors continue to explore alternative credit, explains Randy Schwimmer, co-head of senior lending at Churchill, a Nuveen company.
The attraction to Asian private credit continues as the region offers increasing opportunities amid an improving legal and regulatory environment.
Rising interest rates and slowing economic growth could put put the squeeze on borrowers and lenders. AsianInvestor asks how asset owners should assess that risk for private credit markets.
Asian institutions are keen to raise allocations to private debt this year, a newly-released BlackRock survey and comments from asset owners such as family offices show.
The Hong Kong family office expects more direct investment opportunities in the private market in the second half of 2023.
As Asia's private equity markets become saturated, investors are finding opportunities in the evolving private credit space, a survey released on February 6 shows.
The Korean sovereign wealth fund aims to increase its direct investment abilities with a minority stake in US-based Golub, marking its first acquisition of an external manager.