Key Takeaways
- • 67% of Asia-Pacific investors plan to expand allocations to alternative assets, significantly outpacing global sentiment, driven by heightened geopolitical tensions and trade uncertainties including the US-China tariff war and Israel-Iran conflict.
- • Private credit allocations surging: 45% of global investors plan to increase private credit exposure (up from 37% six months prior), with Asia-Pacific investors showing even stronger conviction; 64% of APAC investors prioritize geopolitical risk management versus 44% globally.
- • Secondary market appetite accelerating: 37% of global investors intend to raise secondary market allocations (up from 29% in December), with Asia-Pacific showing 64% interest in ramping up secondaries exposure versus 42% six months ago.
- • Survey scope reflects institutional scale: Coller Capital's biannual Global Private Capital Barometer surveyed 110 global investors managing US$1.9 trillion in AUM across February-April 2025; Coller itself manages US$40 billion across private equity, credit, and alternative fund vehicles.
- • Capital raising momentum in Asia: Alternative asset managers including Ares are actively seeking investors for Asia-focused private credit funds, capitalizing on regional demand shifts toward private markets as a defensive positioning against macro volatility.
Summary
Asia-Pacific investors are demonstrating the strongest appetite globally for alternative assets as geopolitical tensions and trade friction drive capital toward private markets. According to Coller Capital's Global Private Capital Barometer released in June 2025, 67% of Asia-Pacific investors plan to expand allocations to alternative investments—the highest regional concentration among surveyed investors. This heightened conviction reflects material shifts in portfolio construction, with nearly two-thirds of APAC participants viewing private markets as a strategic shelter from escalating macro risks.
The survey, which polled 110 global investors managing US$1.9 trillion in private capital funds between February 19 and April 14, 2025, reveals a marked acceleration in private credit demand. Globally, 45% of investors now plan to increase private credit allocations, up substantially from 37% recorded six months prior. Asia-Pacific investors demonstrate even stronger commitment to this asset class, with private credit emerging as a primary vehicle for capital deployment amid uncertainty. William Yea, investment principal at Coller Capital, attributed this momentum to "growing interest and conviction from Asia-Pacific investors in private markets amid increasing geopolitical tensions."
The secondary market—transactions involving existing private equity, credit, and real asset positions—has emerged as a particularly attractive allocation vector. Globally, 37% of investors intend to raise secondary market exposure, compared with 29% in December 2024. Asia-Pacific participation is notably stronger, with 64% of regional investors planning to increase secondaries bets versus only 42% six months ago. This signals institutional appetite for portfolio rebalancing through secondary transactions as a mechanism to optimize risk-adjusted returns while maintaining exposure to private markets.
Geopolitical factors are explicitly reshaping investor calculus. Among Asia-Pacific participants, 64% placed greater emphasis on geopolitical risk management, compared with 44% among global peers—a 20 percentage-point differential highlighting regional concentration risk exposure. The Israel-Iran conflict, US-China tariff escalation, and broader trade fragmentation have created urgent conviction for defensive positioning. Simultaneously, capital raising activity in Asia is accelerating, with alternative managers including Ares actively sourcing investor commitments for Asia-focused private credit funds, underscoring the concentrated institutional demand for APAC exposure.
The survey, which polled 110 global investors managing US$1.9 trillion in private capital funds between February 19 and April 14, 2025, reveals a marked acceleration in private credit demand. Globally, 45% of investors now plan to increase private credit allocations, up substantially from 37% recorded six months prior. Asia-Pacific investors demonstrate even stronger commitment to this asset class, with private credit emerging as a primary vehicle for capital deployment amid uncertainty. William Yea, investment principal at Coller Capital, attributed this momentum to "growing interest and conviction from Asia-Pacific investors in private markets amid increasing geopolitical tensions."
The secondary market—transactions involving existing private equity, credit, and real asset positions—has emerged as a particularly attractive allocation vector. Globally, 37% of investors intend to raise secondary market exposure, compared with 29% in December 2024. Asia-Pacific participation is notably stronger, with 64% of regional investors planning to increase secondaries bets versus only 42% six months ago. This signals institutional appetite for portfolio rebalancing through secondary transactions as a mechanism to optimize risk-adjusted returns while maintaining exposure to private markets.
Geopolitical factors are explicitly reshaping investor calculus. Among Asia-Pacific participants, 64% placed greater emphasis on geopolitical risk management, compared with 44% among global peers—a 20 percentage-point differential highlighting regional concentration risk exposure. The Israel-Iran conflict, US-China tariff escalation, and broader trade fragmentation have created urgent conviction for defensive positioning. Simultaneously, capital raising activity in Asia is accelerating, with alternative managers including Ares actively sourcing investor commitments for Asia-focused private credit funds, underscoring the concentrated institutional demand for APAC exposure.
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