SWFs and pension funds eye higher real asset allocations

Sovereign wealth and state pension fund allocations to alternatives have doubled since 2013, but crowded markets will make it harder to hit return targets, Invesco's industry report shows.

European institutional investors are seeing growing appeal in Asian real estate, while Asian investors continue to be enamoured by overseas purchases.

Legislative bottlenecks are delaying the establishment of the development fund. Outstanding issues include the amount to be invested and whether it will use an offshore asset manager.

With steady yield hard to come by, superannuation funds are taking bold steps to satisfy their thirst for infrastructure, such as by making unsolicited proposals for regulated assets.