Private equity and credit will continue to dominate asset mandates for the next 12 to 24 months, according to a survey of Outsourced Chief Investment Officer (OCIO) providers.
Vidrio Financial, in association with AW Research, surveyed some of the longest-running OCIO businesses with assets under advisement totaling over $660 billion. The aim was to determine not only what was keeping them up at night but to find out the strategies and the operations that are refining what they provide to non-profits going forward.
Over half (55%) said that private equity was the most likely home for new allocations, with another 33% viewing credit strategies, such as distressed debt, as offering greater opportunities over the next 12 to 24 months. Other asset classes mentioned included real estate, hedge funds and fixed income.