Geopolitical volatility and portfolio resilience

The term lost decade, or lost decades, is generall
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US endowment returns rocket on SpaceX windfall

US endowment returns rocket on SpaceX windfall

Early venture bets on SpaceX have ballooned into major portfolio positions at some US university endowments, with new analysis estimating the aerospace firm contributed as much as 10.6 percentage points to annual returns. Michael Markov, founder of US quantitative researcher Markov Processes International, says the windfall is now creating a concentration risk that investors cannot ignore.

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Stiglitz: No global recovery without equal access to vaccines

Celebrated economist Joseph Stiglitz, University Professor at Columbia Business School, says the slowness in developing a comprehensive approach to debt in emerging markets and developing countries will result in a weaker global recovery. He urged for a restructuring of debt in a coordinated approach between the public and private sector.

Bridgewater’s Prince: Time to think differently in an MP3 world

Bridgewater’s co-CIO Bob Prince explains the perils of MP3 and suggests investors need to think differently, shaping strategies around cash-flow yields - connecting equity cash flows to stable sources of spending in the economy.

Changing priorities for infrastructure investors

Investors discuss how technological change and the new green economy is re-pricing assets in infrastructure, as well as the trend to substitute fixed income with infrastructure debt. But investors should not to lose sight of traditional infrastructure characteristics in their quest to tap new trends. Predictable cashflows and downside protection remain central. 

Examining the limits of modern portfolio theory

The definition of what it means to invest is changing, according to Jon Lukomnik and James P. Hawley, which means examining the limitations of the 75-year old legacy of modern portfolio theory.

CIO’s views on risk, cost and external partners revealed in annual survey

The latest annual CIO Sentiment Survey, a collaboration between Top1000funds.com and Casey Quirk, part of Deloitte Consulting, finds asset owners on track to hit return targets as risk on and active strategies reap rewards. Elsewhere, after consecutive years of cutting back on manager and consultant relationships, investors want more partners in 2021.

Future Fund sceptical on correlations

The Future Fund, Australia’s A$226 billion sovereign wealth fund, has embarked on an ambitious project instigated during the crisis which includes re-examining its investment assumptions, risk tolerance and the way it allocates capital. Amanda White talks to the fund’s new CIO, Sue Brake about where the fund will be allocating in the future including alternatives and active management.

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