Private capital: playing the bankers’ game

Investors are looking to diversify into non-correlated assets as volatility and the risk of political shocks continue to haunt bond and equity markets. As an alternative asset, timber should fit the bill. The industry is increasingly global, well established and recovering from the financial crisis. Managing and harvesting timber has green credentials too. Institutional investors are set to fill the lending gap left by banks as more fund managers enter the private debt market. The dramatic reduction of capital available from banks since the end of 2008 with the onset of the financial crisis is encouraging mainstream fund managers to step into the breach.

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Investors are looking to diversify into non-correlated assets as volatility and the risk of political shocks continue to haunt bond and equity markets. As an alternative asset, timber should fit the bill. The industry is increasingly global, well established and recovering from the financial crisis. Managing and harvesting timber has green credentials too. Institutional investors are set to fill the lending gap left by banks as more fund managers enter the private debt market. The dramatic reduction of capital available from banks since the end of 2008 with the onset of the financial crisis is encouraging mainstream fund managers to step into the breach.

By James Hester

Investors are looking to diversify into non-correlated assets as volatility and the risk of political shocks continue to haunt bond and equity markets. As an alternative asset, timber should fit the bill. The industry is increasingly global, well established and recovering from the financial crisis. Managing and harvesting timber has green credentials too. Institutional investors are set to fill the lending gap left by banks as more fund managers enter the private debt market. The dramatic reduction of capital available from banks since the end of 2008 with the onset of the financial crisis is encouraging mainstream fund managers to step into the breach.

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