Investors move to global equities
Australian investors are increasing their exposure to global equities, but their appetite seems to be moving from East to West, according to a new report released by Investment Trends.
The Investment Trends 2012 Global Investing Report found both investors and financial planners are feeling more optimistic about the global investment market, particularly the United States and North America markets.
Half of high net worth clients, for example, have an exposure to global investments, up from 45 per cent at the end of 2011, with more to make the move, said Investment Trends senior analyst Recep Peker.
Funds covering several regions remain the most popular investment, but the exposure to the US and North America has almost doubled in the last 12 months - from 15 per cent to 28 per cent.
“This increase has come at the expense of the Asian region and emerging markets,” Peker said. “The appetite seems to be moving from East to West.”
However, Peker added that financial planners were taking a more focused approach to international equities than before.
At the end of 2011 they were recommending investments relating to three regions per client, but this has reduced to two in the last 12 months.
Recommended for you
Australian fund managers are actively seeking to launch Cayman versions of their funds to attract offshore flows, with Regal Partners set to launch its latest offering this month.
As private markets gain traction in Australia but only a limited pool of talent is available, three recruiters explore whether fund managers should consider looking overseas to find top talent.
With an explosion of private credit managers appearing in the market, two alternatives experts believe a consolidation is needed to maintain the quality of the sector.
Bentham Asset Management has become the latest fund manager to expand its distribution team as it reports increased interest in its credit strategies.
