Eight paths to long-term premia
When the Thinking Ahead Group looked into whether investors could be reasonably certain of a long-horizon premium, they found builders of value and savings whose costs are worth it.
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Long-horizon premium: up to 1.5%
A study from the Thinking Ahead Institute finds the premium for long-horizon investing is up to 1.5 per cent a year and identifies eight strategies for reaching that target.
Locking up capital has pros and cons
In theory, closed-end funds should outperform over long horizons – they can avoid forced sales. But in practice, lack of monitoring and alignment can lead to agency costs and underperformance.
Measuring long-horizon investing
Asset owners should insist “long-horizon” managers have a portfolio monitoring process at the outset of the mandate leading to better relationships and ultimately portfolio performance.
Long horizon investors ‘a crazy bunch’
Asset owners should allocate capital where it is productive, which implies knowing where value is created in the real world. Jaap van Dam contemplates what it means to be a long-horizon investor.
A broader view of risk
In the first of a series of contributed articles exclusively for conexust1f.flywheelstaging.com, global head of investment research at Mercer, Deb Clarke examines the decision making of long-horizon investors.
Opinion