Asia-Pacific Investors Increase Private Equity Exposure; Singapore Leads Allocation

According to the Morningstar Asset Owner Perspectives Survey 2026, Singapore asset owners allocated 23.8 per cent of their portfolios to private markets, compared to 22 per cent in Hong Kong. However, a greater proportion of Hong Kong investors reported increasing their private market exposure over the past year, with 68.6 per cent reporting an increase versus 48.6 per cent in Singapore. Among asset owners planning to raise private markets exposure, diversification from public markets was cited as the leading driver globally.

Institutional investors globally are seeking to diversify beyond public markets, with average private markets allocations expected to rise from 19 per cent currently to 23 per cent over the next five years. Hong Kong respondents prioritized diversification at 81 per cent, ahead of Singapore at 70 per cent, when planning exposure increases.