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Innovation to align investors with the social good

The CFA Institute’s president John Rogers, believes there is evidence of innovation in investment products that meet the needs of asset owners in a more sustainable, longer-term way, and points to the work of professors and advisors to the CFA , Andrew Lo of MIT and Robert Shiller of Yale.   One of the main […]
Uncategorised posts

Adding value through risk allocations

2013 was a great year to add value by using risk to assign asset allocation, according to chief investment officer of Windham Capital, Lucas Turton, whose fund added 300 basis points above benchmark last year by dynamically allocating according to risk.   Windham Capital Management’s style is to focus on measuring and understanding risk to […]
Research

The Determinants of Pension Funds’ Allocation to Private Equity

This paper by the French National Center for Scientific Research (CNRS) investigates the main determinants of pension funds investment in private equity funds, and particularly in venture capital and leverage buyouts in the US and Canada over the 1996-2011 period. The results show some important differences between pension funds allocating to private equity and more traditional assets. The first ones are […]
Uncategorised posts

Alternatives increase as investors manage to outcomes

Investor allocations to alternatives will increase over the next three years as the focus on outcome-oriented investments heightens, according to respondents in the annual conexust1f.flywheelstaging.com /Casey Quirk Global Fiduciary CIO sentiment survey. The second annual survey, which included respondents from 56 asset owners with combined assets of $3 trillion, showed an accelerating trend to moving […]
Investment Think Tanks

Stanford professors challenge thinking

Investors were challenged to think differently about their portfolios by the latest academic thinking from Stanford University at a one-day investment roundtable in California last week. Chief investment officers from US public and corporate pension funds, endowments and foundations convened at Menlo Park, the home of Stanford University, for a one-day investment think-tank. Three finance […]
Investment Think Tanks

PE LPs overweighting home-state is hurting returns

New research finds institutional investors favour investing in private equity general partners that are located in the same state as their organisation. This is intuitive as local knowledge and contacts attract investments. However research from Stanford University finds this bias is coming at a large cost – about $1.2 billion a year – particularly for […]
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