Dutch insurers and pension funds had a combined total of €276bn worth of private asset investments on their books by 2025, according to De Nederlandsche Bank (DNB).
Growth has been particularly evident among major insurers in recent years, with the proportion of private assets in their investment portfolio rising from 14% to 22% between 2021 and 2025, equivalent to around €47bn (excluding real estate and mortgage loans).
Investments in private credit have also grown in recent years, especially among insurers. Their total exposure to private credit rose from €12.8bn to €17.5bn between 2021 and 2025. Private credit therefore accounts for approximately 8.3% of insurers’ AUM.
“At present, the systemic risks associated with private asset investments by Dutch institutional investors are limited,” DNB said.
“The current scale of the exposures does not give cause for concern regarding immediate systemic risks. Furthermore, it is unlikely that insurers and pension funds would be forced to sell assets in stressed conditions.
“However, given the rapid market growth, it is important to closely monitor the development of private markets and the associated risks. Furthermore, problems experienced by individual institutions caused by high allocations to private assets can also lead to systemic risks, for example where this results in a loss of confidence. Further research is needed to better identify the various interconnections. International coordination is vital in view of the cross-border nature of these markets. DNB is therefore actively working at an international level to improve the availability and quality of data.”
