The $35.7 billion Healthcare of Ontario Pension Plan (HOOPP) will split its chief investment officer function in two following the appointment of Jim Keohane to president and chief executive and the retirement of John Crocker. (more…)
The market is reflecting a high state of systemic risk and turbulence, and investors should adjust their allocation to growth assets accordingly, says Lucas Turton, chief investment strategist of Windham Capital Management. (more…)
It is a key assumption that financial institutions such as auditing firms and credit ratings agencies will act in an ethical way to protect their reputation because it is, ultimately, the source of their profitability. But groundbreaking work by Harvard University postdoctoral fellow Abigail Brown posits that institutions may actually be incentivised to cyclically “trade down” their reputation in an effort to maximise profit. (more…)
Reclaiming fiduciary duty balance between prudence, loyalty and impartiality is critical to sustaining pension promises, this article claims. It would encourage better alignment of pension service providers’ supply chain interests, adoption of fit-for-purpose pension fund governance practices, and implementation of precautionary risk management policies. (more…)
Executive director of the Asset Owners Disclosure Project and business director of the Climate Institute, Julian Poulter, aruges the progress of carbon legislation in Australia is a wake-up call to asset owners around the globe.
Australia’s lower house of Parliament passed a carbon tax yesterday. It prices carbon at $23 a ton. India’s carbon tax is 80 rupees (about $1) a ton. So what is the appropriate price of carbon? According to Robert Litterman in his Financial Analysts Journal editorial, it is a complex equation that should reflect fundamental uncertainty about catastrophic risks and a high level of societal risk aversion. (more…)