diff --git a/packages/svelte/src/compiler/phases/3-transform/client/transform-client.js b/packages/svelte/src/compiler/phases/3-transform/client/transform-client.js
index d591dbe4e1..e7a5e024af 100644
--- a/packages/svelte/src/compiler/phases/3-transform/client/transform-client.js
+++ b/packages/svelte/src/compiler/phases/3-transform/client/transform-client.js
@@ -355,6 +355,12 @@ export function client_component(analysis, options) {
 	const push_args = [b.id('$$props'), b.literal(analysis.runes)];
 	if (dev) push_args.push(b.id(analysis.name));
 
+	if (analysis.is_async) {
+		const body = /** @type {ESTree.FunctionDeclaration} */ (template.body[0]);
+		body.body.body.unshift(...instance.body);
+		instance.body.length = 0;
+	}
+
 	let component_block = b.block([
 		...store_setup,
 		...legacy_reactive_declarations,
@@ -367,24 +373,6 @@ export function client_component(analysis, options) {
 		.../** @type {ESTree.Statement[]} */ (template.body)
 	]);
 
-	if (analysis.is_async) {
-		const body = b.function_declaration(
-			b.id('$$body'),
-			[b.id('$$anchor'), b.id('$$props')],
-			component_block
-		);
-		body.async = true;
-
-		state.hoisted.push(body);
-
-		component_block = b.block([
-			b.var('fragment', b.call('$.comment')),
-			b.var('node', b.call('$.first_child', b.id('fragment'))),
-			b.stmt(b.call(body.id, b.id('node'), b.id('$$props'))),
-			b.stmt(b.call('$.append', b.id('$$anchor'), b.id('fragment')))
-		]);
-	}
-
 	if (!analysis.runes) {
 		// Bind static exports to props so that people can access them with bind:x
 		for (const { name, alias } of analysis.exports) {
diff --git a/packages/svelte/src/compiler/phases/3-transform/client/visitors/Fragment.js b/packages/svelte/src/compiler/phases/3-transform/client/visitors/Fragment.js
index a3572b9b9c..e69243e9d7 100644
--- a/packages/svelte/src/compiler/phases/3-transform/client/visitors/Fragment.js
+++ b/packages/svelte/src/compiler/phases/3-transform/client/visitors/Fragment.js
@@ -204,6 +204,21 @@ export function Fragment(node, context) {
 		body.push(close);
 	}
 
+	const async =
+		state.metadata.init_is_async || (state.analysis.is_async && context.path.length === 0);
+
+	if (async) {
+		// TODO need to create bookends for hydration to work
+		return b.block([
+			b.function_declaration(b.id('$$body'), [b.id('$$anchor')], b.block(body), true),
+
+			b.var('fragment', b.call('$.comment')),
+			b.var('node', b.call('$.first_child', b.id('fragment'))),
+			b.stmt(b.call(b.id('$$body'), b.id('node'))),
+			b.stmt(b.call('$.append', b.id('$$anchor'), b.id('fragment')))
+		]);
+	}
+
 	return b.block(body);
 }
 
diff --git a/packages/svelte/src/compiler/phases/3-transform/client/visitors/shared/component.js b/packages/svelte/src/compiler/phases/3-transform/client/visitors/shared/component.js
index e79fa931b0..644c0478d2 100644
--- a/packages/svelte/src/compiler/phases/3-transform/client/visitors/shared/component.js
+++ b/packages/svelte/src/compiler/phases/3-transform/client/visitors/shared/component.js
@@ -167,8 +167,17 @@ export function build_component(node, component_name, context, anchor = context.
 
 				if (should_wrap_in_derived) {
 					const id = b.id(context.state.scope.generate(attribute.name));
-					context.state.init.push(b.var(id, create_derived(context.state, b.thunk(value))));
-					arg = b.call('$.get', id);
+
+					if (attribute.metadata.expression.is_async) {
+						// TODO parallelise these
+						context.state.init.push(
+							b.var(id, b.await(b.call('$.async_derived', b.thunk(arg, true))))
+						);
+						arg = b.call(id);
+					} else {
+						context.state.init.push(b.var(id, create_derived(context.state, b.thunk(value))));
+						arg = b.call('$.get', id);
+					}
 				}
 
 				push_prop(b.get(attribute.name, [b.return(arg)]));
diff --git a/packages/svelte/src/compiler/utils/builders.js b/packages/svelte/src/compiler/utils/builders.js
index f79028a947..42c0a46788 100644
--- a/packages/svelte/src/compiler/utils/builders.js
+++ b/packages/svelte/src/compiler/utils/builders.js
@@ -30,16 +30,17 @@ export function assignment_pattern(left, right) {
 /**
  * @param {Array<ESTree.Pattern>} params
  * @param {ESTree.BlockStatement | ESTree.Expression} body
+ * @param {boolean} async
  * @returns {ESTree.ArrowFunctionExpression}
  */
-export function arrow(params, body) {
+export function arrow(params, body, async = false) {
 	return {
 		type: 'ArrowFunctionExpression',
 		params,
 		body,
 		expression: body.type !== 'BlockStatement',
 		generator: false,
-		async: false,
+		async,
 		metadata: /** @type {any} */ (null) // should not be used by codegen
 	};
 }
@@ -214,16 +215,17 @@ export function export_default(declaration) {
  * @param {ESTree.Identifier} id
  * @param {ESTree.Pattern[]} params
  * @param {ESTree.BlockStatement} body
+ * @param {boolean} async
  * @returns {ESTree.FunctionDeclaration}
  */
-export function function_declaration(id, params, body) {
+export function function_declaration(id, params, body, async = false) {
 	return {
 		type: 'FunctionDeclaration',
 		id,
 		params,
 		body,
 		generator: false,
-		async: false,
+		async,
 		metadata: /** @type {any} */ (null) // should not be used by codegen
 	};
 }
@@ -419,9 +421,7 @@ export function template(elements, expressions) {
  * @returns {ESTree.Expression}
  */
 export function thunk(expression, async = false) {
-	const fn = arrow([], expression);
-	if (async) fn.async = true;
-	return unthunk(fn);
+	return unthunk(arrow([], expression, async));
 }
 
 /**