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SWFs to alter allocations for a more optimal portfolio

Sovereign wealth funds (SWFs) may allocate substantially more to equities if they consider correlations between natural resources and financial assets in portfolio optimisation, according to State Street’s Vision Report, which also suggests SWFs consider becoming more active share owners as a consequence of the financial crisis.
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The “CalPERS effect” on targeted company share prices

CalPERS’ approach to improving portfolio returns by engaging management of poorly performing companies to rethink governance and strategy has had a substantial endorsement, with analysis by Wilshire Associates demonstrating that the fund has had a dramatic effect on the performance of the companies placed on its Focus List.
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