REUTERS/Carlos Osorio Acquire Licensing RightsTORONTO, Oct 10 (Reuters) - Bank of Nova Scotia (BNS.TO) and Sun Life Financial's (SLF.TO) asset-management division are partnering to tap into the demand from wealthy Canadians looking to invest in private credit, the firms said on Tuesday.
The move comes as private credit becomes one of the fastest growing and most attractive private asset classes, forecast to grow to $2.3 trillion in assets globally by 2027, according to Preqin data.
The private credit market is less mature in Canada than in the U.S. and Europe but is slowly gaining attention.
In a recent survey taken out by Canadian firm Ninepoint Partners, nearly two-thirds of financial advisors said they expect to increase their client or model portfolios' exposure to private credit in the next 12 months.
Scotiabank Global Wealth Management is the third-largest business of its kind in Canada with C$631 billion of assets globally, while SLC Management manages $361 billion in assets.
Persons:
Carlos Osorio, Glen Gowland, Nivedita Balu, Marguerita Choy
Organizations:
The Bank of, Scotiabank, REUTERS, Rights, Bank of Nova, SLC Management, Sun, Wealth Management, Ninepoint Partners, Scotiabank Global Wealth Management, Thomson
Locations:
The Bank of Nova Scotia, Toronto , Ontario, Canada, Bank of Nova Scotia, Sun, U.S, Europe, Toronto