In response to the pandemic, most of the developed world has initiated quantitative easing and other overbearing fiscal and monetary policies. Oversupply has brought about inflationary concerns, which, coupled with low interest rates, have made bond markets less attractive. To compound matters for traditional investors, stock markets are overvalued, consistently breaking historic highs.
Given this difficulty, many institutions are increasing private investment allocations, replacing existing traditional investments. Covid-19 gave investors a good backdrop to rationalise increasing allocation to private assets. Private debt in particular has come to the fore. In a long-lasting low interest rate era, the asset class has been resilient, while providing better returns and boosting diversification. And the various trenches provide different maturities, yields and risk profiles. Investors are waking up to the potential of the asset class in their tactical and strategic allocation strategies.
The 2021 virtual event convenes the largest asset owners and renowned investment managers to discuss current and future private debt investment strategies, and due diligence processes to build resilient and inflation-hedged portfolios and specific private debt investment opportunities amid this unprecedented time.