Following a year where property ruled the roost, alternative structures are being hunted by institutional investors.
Non-traditional asset classes as well as non-traditional constructions of traditional assets, such as long/short equity are likely to interest institutional investors during 2007, according to Mercer Investment Consulting.
"Mercer Investment Consulting believes that an increased interest in tax-efficient investing in the Australian equity area and in socially responsible investing in both domestic and overseas equity may influence search activity in 2007," Mercer Investment Consulting Asia Pacific head of research Marianne Feeley said.
Institutional investors focused heavily on the property market last year, followed by Australian equities and then global equities.
"The property sector stood out as a key driver in search activity spurred on by the availability of new unlisted property strategies as well as by clients allocating a portion of assets to global listed property," Feeley said.
In Australia, Mercer advised on 110 searches, a slight increase on the previous year, representing US$9.3 billion in assets placed.
