Investors turn to private credit, secondaries amid global risks

Global investors are accelerating their shift toward alternative assets amid rising geopolitical risks, with Asia-Pacific investors leading the trend, according to Coller Capital’s Global Private Capital Barometer. About 45% of respondents plan to increase allocations to private credit and 37% to secondaries over the next 12 months, up from 37% and 29% six months ago. In Asia Pacific, 67% aim to expand exposure to alternatives, and 64% are boosting bets on secondaries. The survey covered 110 investors managing a combined USD1.9tr in private capital. Private credit and secondaries are viewed as offering better risk-return trade-offs and quicker cash flows. Global secondary transactions surged 40% to a record USD160bn in 2024, driven by investor appetite for diversified exposure amid ongoing geopolitical uncertainty.