Asian Family Offices Deepen Alternatives Push

Asian family offices alternatives exposure is deepening, especially in private equity and hedge funds, although some investors in the region have at times become overexposed because of their flexibility in deploying capital, Morgan Stanley Private Wealth Management Asia’s Christina Au-Yeung said.

She said Asian families were still in the early stages of building more institutionalised portfolio frameworks for alternatives compared with peers in North America and Europe.

Au-Yeung added that private credit would likely remain accessible through evergreen and semi-liquid structures despite recent redemption gates by Apollo Global Management and Ares Management, but investors needed to pay closer attention to whether fund liquidity terms matched the illiquid nature of underlying assets.

The trend shows Asian family offices alternatives strategies are broadening but also maturing.