China’s slowdown and its efforts to reduce its debt could lead to “exciting opportunities” for distressed and special situations investors, according to the head of global macro and asset allocation at alternative investment giant KKR.

Writing in KKR's 2016 global macro outlook report published on January 12, Henry McVey, head of global macro and asset allocation at KKR, said: "We think that China's ongoing slowdown in fixed investment [spending on physical assets such as buildings, property and machinery] could lead to new and exciting opportunities for distressed/special situations investors."