Asset owners from Korea to Australia see both better returns and inflation hedging when spreading their fixed income to private credit. Still, rising inflation and interest rates are forces to be reckoned with when choosing the right strategy for the asset class.
Regional asset owners are still wary of volatile cryptocurrencies, but they say central bank-backed digital currencies could become investment friendly over the next five to 10 years.
The country's lifers are seeking high-quality overseas assets to strike a balance between risk and return. However, new capital rules from 2023 are making these choices harder.
The Korean life insurer is ramping up its alternative exposure and is looking beyond the domestic market to search for such opportunities.
The looming regulation on the classification of debt may prove unfavourable for distressed assets, but the Korean insurer remains unfazed.