The country's life insurers continue to mainly focus on fixed-income assets but could raise allocations to overseas private assets as a new capital regime is announced.
Fixed income
The great rotation from fixed income to equities is yet to occur. But the future of the asset class is up for debate as the Federal Reserve looks to taper its QE programme.
The CIO of the Korean pension fund also plans to raise allocations to overseas property and scale up its private debt exposure through partnerships with overseas asset owners.
AsianInvestor's Asset Owner Insights survey reveals the top investment focuses of pension funds, sovereign wealth funds and insurers for the next year.
Low interest rates are making it difficult for life insurers to hit return thresholds, and capital charge costs on private assets are forcing them to head up the credit risk curve, say experts.
Greater China investors plan to increase exposure to exchange-traded funds, a new report finds, as HKEX waives fixed-income ETF fees and lists first ETF cross-listing with Shanghai.
As US fixed income default rates rose and yields fell during the pandemic, are Asian bonds, which have had more stable yields through 2020, looking more attractive?
Mega players Nippon Life and Dai-ichi Life are looking for opportunities in higher-yield single-A US corporate bonds, which offer more appealing yields than stagnant domestic offerings.
In partnership with HSBC Asset Management
Asian fixed income assets – including Hong Kong dollar (HKD) bonds – are luring growing numbers of global investors who are striving for reliable and consistent returns amid macro uncertainty compounded by rising inflation and rates, according to HSBC Asset Management.
Omers to buy Indian renewable power producer; GPIF made record cut to treasuries weighting; AustralianSuper's private debt investments to hit A$15 billion by 2024; Hong Kong Exchange Fund's investment income recovers for H1 2021; China's securities regulator claims to seek closer cooperation with US; Allianz wins approval from Chinese regulators to launch asset management firm; and more
With social equality and national security being the main drivers for further regulations, investors are keeping a wary eye on the next possible targets.
This month, AsianInvestor is running a series of stories on the decisions driving the choices of institutional investors as 10-year US treasuries drop further below zero.
Investors are shifting their positions in fixed income, and looking for more ESG opportunities in their private equity investments, according to a Manulife Investment Management report.
