Investors often assume Asian credit markets are “volatile and prone to defaults,” they wrote, adding that’s one of the most “persistent myths” about the sector.
Investors are missing an opportunity to generate returns by ignoring the investment-grade credit market in the Asia-Pacific region, according to KKR & Co.
The market holds a US$1.8 trillion opportunity that is “too big to ignore” and has evolved into a diversified and more risk-averse asset class, Tal Reback, a global credit and markets investment strategist, and Dengzhao Pan, KKR’s head of Asia liquid credit, wrote in an investor letter seen by Bloomberg News.
