Trade finance in frontier and emerging markets: Global investor survey
Sarona/MEDA Global Investor Survey: Limited Partner Perspectives on Private Credit and Trade Finance in Frontier & Emerging Markets
In spring 2019, Emerging Markets Development Partners (EMDP), in partnership with Sarona Asset Management and MEDA, undertook a survey of 46 individuals from 39 different firms. The survey aggregated investor views on private credit in Frontier and Emerging Markets and, ultimately, appetite for a proposed security offering.
- LP interest in private credit in F&EM is high and growing: 74% of respondents expressed a moderate to high interest in investment allocations to private credit in Frontier and Emerging Markets.
- 69% of respondents expressed a moderate to high interest in investment allocations to SME trade finance in Frontier and Emerging Markets.
- 66% of respondents believe the weighting of fund portfolio exposure to frontier markets versus emerging markets should be determined by market factors and investment opportunities available.
- 97% of respondents believe loss protection would influence their decision to invest in a trade finance vehicle.
We also gratefully acknowledge the 46 survey respondents who contributed their invaluable insights to the survey. Thank you.
More to read on trade finance: Read our summary of our trade finance market demand research or visit MEDA’s page on their Trading Up program.