Semi-liquid private market funds have been red-hot, but the sheer volume of recent launches is concerning some players, who expect a shakeout.
The glut of new products, which are untested through different cycles, raises potential questions over the quality and timing of some products. It has also sparked fear that strategies that fail to deliver could scare off clients newly won over to alternatives, who often use semi-liquids to build their core exposure.
‘Let’s see how all these new vehicles, which haven’t been proven through any crisis, play out. I think there could be a bit of consolidation,’ Christian Wicklein, co-head of private wealth at Partners Group, told Citywire Asia.