Investment heads at APG, Credit Suisse and DBS voice doubts about the sustainability of the US stock rally, with American equities now widely viewed as overvalued.
The €440 billion Dutch pension fund manager is still keen on private markets despite falling illiquidity premiums, and its CIO sees Asia as a fertile market for such investments.
An end to the Volcker Rule, part of the US Dodd-Frank Act, could drive flows into alternative assets in Asia. But a return to pre-2008 levels of investment by US banks is seen as unlikely.
Fund managers are under growing pressure to reduce fees, a trend reinforced by the rise of flows into passive strategies and the low returns achieved in recent years, says a new report.
The lure of illiquid investments is fading for some institutions in Asia, especially those – such as insurance firms – that moved later into such assets, say industry observers.
Investors are worried about the risk of a Marine Le Pen victory in France's upcoming election. But Brexit reveals that economics often trumps politics when it comes to asset movements.