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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Why traditional investment committees can amplify group biases

Why traditional investment committees can amplify group biases

Investment committee meetings, a governance cornerstone at every asset owner organisation, run the risk of amplifying group biases and social dynamics, and can push the IC towards recommending more extreme investment positions collectively than the average of their individual views. Bernhard Scherer, head of portfolio implementation at ADIA, unpacks the thesis in a new paper.

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Bond allocations increase as diversification benefits come to the fore

Asset owners are, on a net basis, increasing allocations across fixed income sectors, seeking geographical diversification – particularly those in Asia-Pacific and EMEA – and trusting bonds to provide ballast against equity risk in portfolios.

Reconciling ethics and returns in pursuit of a sustainable economy

Can investors and governments balance financial returns with social equity, or will short-term gains prevail? Anastassia Johnson, researcher at the Thinking Ahead Institute, tackles the complex debate about what makes a just transition.

Railpen talks risks and opportunities in trade upheaval

Investing in currencies and long short equity strategies are two of the opportunities that the UK’s £34 billion Railpen has been exploring in the current volatile environment.

Texas politicians reinstate BlackRock as manager’s ties to the state grow

Public funds in Texas can work with BlackRock once again after legislators removed it from a blacklist of companies accused of "boycotting" the oil and gas industry. The decision comes as Texas's administration found alignment with the asset manager which backed key economic initiatives including the Texas Stock Exchange.

Dutch insurer NN flags loose lending and copious capital in private credit

Marieke van Kamp, head of private markets at Dutch insurer NN, flags growing risks in private credit. In an interview with Top1000funds.com, she also outlines NN's partnership model with managers and argues the case for sustainable real estate.

Behind Norges’ search for pure alpha

Despite uncertainties, Norges Bank is tipping that the US stock market will continue to outperform Europe in the next two decades. The mammoth fund also explained how it carved out a $90 billion pure alpha portfolio from passive investments, overseen only by 8 portfolio managers.

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