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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Does your portfolio have bad breadth? Choosing essential betas

In this article, Ed Peters, co-director of global macro at First Quadrant, Ed Peters, examines what markets, or betas, are essential to fully diversitfy a global portfolio, while still achieving long-term goals; and how breadth is often confused with diversification. mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3

Control shift in GP/LP dynamic: Cambridge Associates

In the headiness of the bull market, institutional investors generally took on more risk and enjoyed fewer rewards than alternatives managers. But the crisis has provided an opportunity for both counterparties to redefine the balance in the LP/GP relationship, in which institutions are entitled to demand a true alignment of interests on returns, lock-ups and

CalSTRS makes allocation changes at expense of equities

In the nine months to March 2009, the $111.6 billion US fund, CalSTRS has vastly altered its asset allocation, decreasing its equities allocation, with global equities now 6.8 per cent underweight the target allocation. mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3

$100b mismatch in private equity secondaries demand and supply

Recessions are traditionally considered a good time to invest in private equity, but liquidity constraints and the growth of unlisted assets within portfolios is causing pension funds to sit on the sideline. Sally Collier, London-based partner at global private equity fund of funds Pantheon Ventures, said there was a US$100 billion “mismatch” between the funds

Liability-responsive asset allocation

Russell Investments’ latest research argues some pension plans should consider a dynamic approach to strategic asset allocation that ties pension fund investing policy to changes in liabilities and a plan’s funded status. For the full report click here mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3

More in-house management means lower costs, risks for Finnish fund Ilmarinen

The 21.7 billion (US$28.7 billion) Ilmarinen Mutual Pension Insurance Company is adopting a ‘back to basic’ approach to investment and relying on its internal investment team to steer it through unprecedented equity market volatility. Deputy chief executive, Timo Ritakallio, talks to Kristen Paech about the virtues of in-house management. mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3

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