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Forget sovereign debt as a safe haven: Mercer

The status of sovereign debt as a safe-haven investment has been put into question and the whole approach to bond investing may need to be revisited, according to Mercer, which has urged institutional investors to focus in the coming year on the ‘new realities’ of the global marketplace, which includes sufficient flexibility in their portfolios.
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Investors focus on hedge fund correlations: survey

Accessing non-correlated strategies has emerged as the top institutional aim in hedge fund investing, according to a survey by SEI Knowledge Partnership and Greenwich Associates, reflecting a shift in objectives since the 2009 survey, when institutions reported diversification and absolute return as priorities.
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Detecting crowded trades in currency funds

This article by Momtchil Pojarliev and Richard Levich proposes a methodology to measure crowded trades and applies it to currency managers. According to the authors, this methodology offers useful insights regarding the popularity of certain trades among hedge funds and provides regulators with another tool for monitoring markets.
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New Mexico boosts opportunistic credit allocation

While active management has been the biggest contributor to the outperformance of the New Mexico Educational Retirement Board in the past year, the fund has a firm focus on the value of asset allocation. With this in mind it recently changed its long-term policy allocation, dramatically increasing the allocation to credit opportunities from 5 per […]
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