Managing Partners Group: Allocations to real estate and life settlements will increase dramatically
Managing Partners Group: Allocations to real estate and life settlements will increase dramatically
Real estate and life settlements are the alternative asset classes set to benefit the most as professional investors review allocations, according to new research from Managing Partners Group (MPG), the international asset management group.
Nearly half (47%) of professional investors questioned (pension funds, family offices, insurers and wealth managers) by MPG across Switzerland, Germany, Italy, the UK and the US expect allocations to real estate to increase dramatically over the next three years while 45% believe allocations to life settlements will see major growth.
MPG’s research with wealth managers and institutional investors who are collectively responsible for £258 billion assets under management shows hedge funds will also see dramatic increases in allocations with 44% forecasting major shifts in allocations.
The study found less support for commodities and high-yield bonds. Around a third (33%) predict dramatic increases in allocations to commodities while 28% believe high-yield bonds will see dramatic growth in allocations.