Quantitative investing needs to change, and should do so by scaling up to produce more proprietary data, reducing excessive numbers of signals and becoming more “market savvy”, according to the global head of equity research at BlackRock, Ronald Kahn.
The $32 billion United Nations Joint Staff Pension Fund has outperformed due to a commitment to active management, a willingness to invest away from the trending market, and a realistic target return.
Numerous regulatory and legislative activity is affecting 401(k) plans in the US. Fee disclosure, target date fund disclosure and a rule on the provision of investment advice are areas with consequences for plan sponsors and participants.
At times when markets are moving around more than usual, such as in the past three years, institutional investors tend to pay more concern to the value of active management. New global figures from Mercer show that while they should be concerned there is still value to be found in active management.
The Australian Government released its report of the review into the governance, efficiency, structure and operation of the superannuation system, last week. Some of the recommendations have been met with controversy by industry participants, with continued support of innovative and alternative investments at risk.
The already heavy exposure to Asia of the S$186 billion ($134 billion) Temasek Holdings will be increased over the next decade as the investor favours the long-term secular growth of Asia over global growth. “Directionally, we are likely to increase our exposure to Asia over the next decade, but will continue to maintain the full
Top1000funds.com is the market leading news and analysis site for the world’s largest institutional investors. It focuses on leading the global investment industry to continuous improvement through case studies of best practice in governance and decision making, portfolio construction and efficient portfolio management, fees and costs, and sustainable investing.
The publication pushes the industry to question whether status quo processes and behaviours to tackle risks and opportunities will be sufficient in the future, and actively campaigns for diversity, sustainability, transparency, innovation and better alignment of fees in the investment industry.
Top1000funds.com is read by investment professionals in more than 40 countries.
Uncategorised posts