Insight for Outcomes: Liquidity Requirements Are Changing Asset Allocations for DC Funds
Michell Teng discusses how climate change and early release schemes can affect super funds and the global economy.
Private assets appeal to investors due to their attractive risk-return properties and diversification benefits. Yet, as institutional investor interest in private assets continues to grow, so too has investor concern around liquidity.
Michelle Teng of PGIM's Institutional Advisory & Solutions (IAS) group joined Conexus Financial’s Head of Institutional Content, Amanda White, for an episode of Investment Magazine’s Market Narratives podcast. During the conversation, Teng discussed the liquidity challenges investors face when allocating to private assets, and shared details of IAS’ liquidity framework which tracks the cashflows of different private asset classes over varying investment horizons to help investors balance liquidity and optimize allocations across liquid and illiquid assets.