Wealth Bankers Rush to Calm Growing Private Credit Fears in Asia

Private bankers across Asia are scrambling to contain client anxiety as redemption pressures ripple through the $1.8 trillion private credit market, even in a region seen as more insulated from the recent turmoil.

With investment funds’ gating mechanisms suddenly in focus, private bankers in Hong Kong and Singapore have been fielding urgent calls from their high net-worth clients seeking clarity or asking to redeem positions on the private credit products they hold, according to people familiar with the matter. Regulators in Asia are also increasing scrutiny of the asset class, aiming to protect less-savvy individual investors, who tend to be more sensitive than their institutional peers and easily rattled by negative headlines.