By Nishtha Asthana, AsianInvestor

As stress builds in Western private credit markets, Asia is increasingly emerging as a structural outlier.

In a recent article by AsianInvestor, our Deputy CIO & Head of Private Investments, Eddie Ong, highlights the “significant headroom for growth in Asia,” underpinned by structurally more conservative and bespoke underwriting standards that are characterised by tighter covenants, stronger collateral packages, and active, deal-by-deal monitoring.

“Managers are competing more on speed of delivery, customisation and governance standards. It is less about pricing down risk through aggressive leverage,” Eddie notes.

He also points to a notable shift in investor behaviour: “Two years ago, many Asian LPs were primarily allocating to US and European private credit. Today, Asian LPs are increasingly turning to Asian private credit for structures that better align with their cash flow requirements.”

As the market continues to evolve, SeaTown remains committed to disciplined underwriting and delivering differentiated private credit solutions across Asia.

Read more at AsianInvestor (subscription may be required): https://bit.ly/4tWoCLB