2015年-普华永道全球_Alternative_Asset_Management_2020_36页_4mb

Summary of Alternative Asset Management 2020: Fast Forward to Centre Stage

Core Content

This report outlines the transformation and evolution of the alternative asset management industry up to 2020, highlighting key trends, challenges and opportunities. It emphasizes the increasing role of alternative asset management in the global economy, driven by regulatory changes, demographic shifts, and the demand for diversified, outcome-based investment solutions.

Main Points

• Alternative Asset Management Moves to Centre Stage:
  Alternative asset management is becoming a dominant force in the investment universe due to the need for sustainable long-term returns, regulatory changes that favor alternatives, and the growing importance of asset management in solving global challenges such as aging populations and urbanization.

• Growth Projections:
  By 2020, alternative assets are expected to reach $13.6tn in the base case and $15.3tn in the high case. This growth is fueled by accommodative monetary policies, stable GDP growth, and the increasing demand for tailored investment products.

• Investor Base Shift:
  The investor base is shifting, with significant growth in the SAAAME (South America, Asia, Africa and the Middle East) economies. These regions will see a faster growth in alternative assets compared to developed markets, driven by the emergence of new sovereign investors and the rise of high-net-worth individuals (HNWIs) and the mass affluent.

• Strategic Imperatives for Alternative Firms:
  Alternative firms must adopt key strategies to remain competitive in 2020, including:

  • Choosing the Right Channels: Targeting specific investor segments such as sovereign investors, pension funds, and private wealth markets.
  • Build, Buy or Borrow: Firms will grow through internal development, acquisitions, or partnerships with other institutions.
  • Standardisation and Customisation: The industry is polarizing into standardised and customised solutions, driven by investor demand for outcome-based products and easier access to alternative strategies.
  • Industrial Strength: Firms will move from 'institutional quality' to 'industrial strength', focusing on efficiency, scalability, and technology integration.
  • Right Resources in the Right Places: Optimizing internal and external resource allocation through better organisational design and data-informed decision-making.
  • Beyond Data: While data is crucial, firms will also focus on operational excellence, regulatory compliance, and investor engagement.

Key Trends

• Sovereign Investors:
  Sovereign investors will play a major role in the alternative asset management landscape. Their assets are projected to grow to $15.3tn by 2020. These investors will increasingly seek bespoke solutions, transparency, and governance. They are also shifting from discretionary management to strategic relationships, including co-investment deals and joint ventures.

• Capital Maximisation and Economic Development Objectives:
  Sovereign investors with capital maximisation goals will allocate more to alternatives, particularly private equity and real estate, while those focused on economic development will favor infrastructure and private equity. Stabilisation-focused investors will likely remain cautious and prefer liquid assets.

• Emerging Markets:
  Emerging markets, especially China and Latin America, will become key growth areas for alternative firms. China's internationalization and reduction of investment barriers will open new opportunities, while Latin American investors are looking for alternative investments to complement domestic bonds.

• Retail Channel:
  The rise of liquid alternatives will challenge traditional firms but also create opportunities for collaboration. Traditional firms may dominate the retail space due to their established distribution platforms and brand recognition, while alternative firms may need to adapt by either participating in the market or focusing on other channels.

Conclusion

By 2020, the alternative asset management industry will have undergone significant transformation. Leading firms will focus on strategic growth, operational efficiency, and technology integration to meet the evolving needs of investors. The industry will become more standardised, customised, and global, with a stronger emphasis on data-driven decision-making and industrial strength.

The report also highlights the importance of regulatory compliance, brand building, and distribution alliances in achieving success. Alternative firms that adapt to these changes and align with the new investor demands will be well-positioned for growth in the coming years.

Key Figures

• Alternative assets are expected to reach $13.6tn (base case) and $15.3tn (high case) by 2020.
• Global pension fund assets are projected to reach $56.6tn by 2020, with a significantly larger role for alternatives.
• Sovereign investor assets are expected to grow to $15.3tn by 2020, with private equity and real estate becoming major allocations.
• Co-investment deals between sovereign investors and alternative firms are expected to increase, reaching 63 by 2020.
• Asia-Pacific will account for 29% of HNW assets and 43% of mass affluent assets by 2020.

Strategic Recommendations

• Tailor products to specific investor segments.
• Invest in technology and data infrastructure.
• Adopt a clear growth strategy (build, buy, or borrow).
• Enhance operational efficiency through automation and outsourcing.
• Build strong relationships with sovereign investors and other key institutions.
• Focus on emerging markets for growth and diversification.