Insurers overseeing $23 trillion plan to add even more to their private market holdings as part of a strategy to smooth long-term returns, according to a BlackRock Inc. survey.

Of 463 senior insurance executives surveyed by BlackRock, 93% said they expect to increase their exposure to private assets in response to market movements over the next 12 months. Investment-grade private credit, including infrastructure debt and private placements, remains a preferred asset class.

Only 3% expect to reduce private investments, according to the survey published Monday.

Insurers have been embracing alternative assets for years, and private equity firms have been buying insurance firms to fuel the growth of private credit. The expansion has drawn scrutiny from lawmakers, who have flagged potential

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