Nick Wade: Driving from Beijing to Paris and stories in risk modelling

I chat with Nick, Director of Asia Pacific Marketing at Northfield Information Services, about the bubbles we live in socially, philosophically and professionally. Risk modelling has evolved to mirror active management and yet entails residual dogma and structural flaws in delivery and execution. In this fascinating conversation we unpack where AI will take financial services, the importance of time horizons and the better questions asset owners need to ask themselves in order to understand their portfolios.

Nothing on this podcast is to be considered investment advice or a recommendation. No investment decision or activity should be undertaken without first seeking qualified and professional advice.

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PMT talks infra equity and how to balance stock concentration risk

PMT talks infra equity and how to balance stock concentration risk

Scenario testing has put inflation risk front and centre at PMT, the Netherlands’ third largest pension fund, and it's driving the investor to take stock of the inflation protection it gets from infrastructure. In an interview with Top1000funds.com, chief investment officer Hartwig Liersch unpacks the risk, as well as another initiative where it's balancing concentration risk in the equity allocation without hurting returns.

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Wisdom: The jewel in the dirt-pile of intelligence

In his regular column for Top1000funds.com, Tim Hodgson, co-founder of the Thinking Ahead Institute at WTW, reflects on the dangers of unconstrained action, the limits of efficiency, and why long-term sustainability may depend on knowing when not to act.

When states lose the ability to govern, populism rises

Stephen Kotkin, global geopolitical expert and Stanford academic, has warned that there is an “increasing governability challenge in high-income democracies” where government departments face declining capacity to perform core functions due to complex regulatory systems and bureaucratic tasks. 

Inside NBIM’s AI playbook to hone investment edge

Norges Bank is a lean organisation despite managing a $2.2 trillion portfolio. Across the fund’s four global offices, there are only 700 staff, or $3 billion per person, which is why it has made pursuing AI-driven efficiency a core organisation initiative – and a non-negotiable requirement for its employees. 

Investors unpack regime-based portfolio thinking 

Funds are operating in an extraordinary environment, with Scott Chan, chief investment officer of CalSTRS, saying he has never witnessed so many “large shifts stacked on top of the other” in his investment career. Amid the change, investors are increasingly shifting to a scenario and regime-based asset allocation.  

AI investors face post-Moore’s Law reality

Mark Horowitz, a leading computer scientist and electrical engineer at Stanford University, has declared that Moore’s Law is “basically over”, which will have significant ramifications for artificial intelligence investors who are counting on more computing power to feed into more complex models.  

Public-private partnerships key to fixing US infrastructure

The size of the current infrastructure investment gap and the speed at which it is widening mean there is both a desire and a need for more public-private partnerships to unlock funding. Investors say that collaboration with local governments and raising public awareness of private investment benefits are crucial. 

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