Sumitomo Mitsui DS Asset Management (Singapore) (SMDAMSG) and Singapore-based Aravest Private Funds have secured $165 million for their joint APAC Real Estate Credit strategy.
The strategy was launched late last year with commitments of $120 million.
Sponsored by SMBC Group and co-managed by SMDAMSG and Aravest, the fund marks the first in a private credit series to be developed by SMBC Group under its new SMBC Private Markets platform.
“Aravest contributes robust institutional investment management experience through its deep expertise in real estate equity investing, while SMBC provides pan-Asian origination capabilities, credit expertise, and operational excellence through SMDAMSG,” the Japanese group said in a statement.
The APAC strategy will focus on credit transactions secured by high-quality real assets, with investments spanning across a range of credit solutions tailored to the lifecycle of the underlying assets, including construction, bridge, value-add and stabilised stages.
SMBC Group launched the SMBC Private Markets platform in December 2025, and Sumitomo Mitsui DS Asset Management has been selected as its primary asset manager. The venture between its Singapore-based entity and Aravest brings Asia to the platform, following partnerships with Bain Capital and Muzinich in the European market.
The initiative also aims to support the positioning of Japan as a global asset management centre.
The SMBC Private Markets platform targets to bring its cross-asset management value to 15 trillion yen ($94 billion) by 2031.
Sumitomo Mitsui DS Asset Management has more than $170 billion in assets under management, while Aravest manages a $9.9-billion portfolio of real assets across APAC, with key investments in office, hospitality and living, logistics, retail and sustainable infrastructure.
