Food for thought: Investing in global food production

The inevitable move to more modern food production
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Could Norway’s SWF really disappear?

Could Norway’s SWF really disappear?

Rising geopolitical risks and an AI correction could severely impact the value of the $2.2 trillion Norwegian sovereign fund, according to its chief executive Nicolai Tangen, who went so far as to say the fund could "disappear." The warning is a stark one for the world's largest sovereign wealth fund, whose 70 per cent equity allocation leaves it heavily exposed to any sharp correction in global and particularly US tech markets.

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Musing towards a more hopeful AI future

Predictions about artificial intelligence are often dire prophecies of humanity inventing the agent of its own demise or obsolescence. But if we consider that human cognitive powers might actually grow in response to the advancement of AI, the potential outcomes become less threatening.

Price war hitting active fees, too

Fee compression is here to stay. Only the few active managers that have met their benchmarks over the past few years have been immune. But make no mistake, asset owners will be reviewing all strategies for their value and fee models will continue to evolve.

Firearms Principles provide a target

A coalition of 13 institutional investors, led by the California State Teachers’ Retirement System, has crafted principles for engaging with entities that manufacture, sell or regulate guns in a way that fosters a responsible civilian gun industry and reduces risk. The guidelines are intentionally flexible so each organisation can apply them in accordance with its own models for engagement.

CalPERS’ PE reform uses familiar model

The California Public Employees’ Retirement System decides to stick with a traditional approach to direct investment within its private equity portfolio, planning to use a model that features ‘captive’ general partners that will operate independently but with a clear mandate from the fund for long-term value and benefit to society.

UK’s BTPS forges independent identity

Since splitting from its former inhouse manager, Hermes, the £50 billion British Telecom Pension Scheme has set about redefining itself. With a self-reliance borne of technology, the fund has brought portfolios and functions inhouse and started a bigger push into mature infrastructure.

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The 100 largest asset owners have a huge worldwide impact. As global markets evolve, they’ll need proactive leaders, the right technology and good public policy to help shape a better economy.