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...’s China or US funds....
...The portfolio shake-up, which was confirmed after a scheduled asset allocation review, will bring the California-based plan into line with other big retirement systems in the US, including Calstrs, which...
...As an international asset management centre, UK asset managers should be able to capture this growth....
...However, Jim Masturzo chief investment officer, multi-asset strategies, at Research Affiliates, the smart beta index specialist, urges patience....
...Portfolio insurance — a dynamic hedging strategy based on stop losses which was designed to let pension funds hold a higher equity allocation ‘safely’— was deemed the villain of the 1987 crash....
...These countries’ bonds were transformed into assets that passive funds would be compelled to buy, and on which active managers would need to spend large amounts of portfolio risk to avoid....
...Still, cheap UK stocks are starting to grab the attention of fund managers....
...Investors could also look at increasing their exposure to passive funds tracking European or emerging market indices, or diversify away from equities by considering multi-asset funds....
...Third, a maturation of financial markets including the spread of derivatives, lower entry barriers and the institutionalisation of emerging markets as an asset class....
...Fink said big pension funds that have large allocations to private equity have been particularly reluctant to invest because those funds have been slow to return money to investors amid a slowdown in takeovers...
...No portfolio manager wants to explain to their clients why they failed to back the hot stock in a particular year....
...The “quant winter” that enveloped quantitative mutual funds in 2018 turned into spring in late 2020 — when Treasury yields bottomed – and has blossomed into summer as they headed upwards....
...Tom Slater, the trust’s manager, said: “In a volatile period for growth investment, we own a portfolio of established companies achieving rapid expansion . . ....
...This is leaving a lasting mark on asset allocation decisions. Whenever advisers recommend looking at potentially more lucrative long-term investments, the pushback is the same....
...The return of normalised inflation that anyone over the age of 40 will remember will inevitably influence asset allocation as investors expect returns significantly above the risk-free rate....
...split roughly evenly between the specific asset allocation and active management....
...Seizing the opportunities from this trend requires being dynamic with portfolios, not relying on static exposure to broad asset classes that worked so well during the sustained bull markets of the past....
...His invention, the open-ended mutual fund, allowed retail customers to buy into a diversified portfolio of stocks and be confident that they would get a fair value when they wanted their money back....
...UK investors returned to equities for the first time in six months, as asset managers looked to reorientate their portfolios to account for brighter sentiment on inflation and interest rates....
...It is not difficult to envisage a world where Gen AI engines are an integral part of all the higher-skill tasks of asset allocation, model portfolios, security selection and risk mitigation....
...Calpers’ allocation for [public] equity will go to 37 per cent of the fund and fixed income will be reduced to 28 per cent....
...Under Golden, the school’s allocation to private equity including venture capital crept up to 40 per cent, with the overall portfolio growing by almost 10 times since he first arrived....
...Nutmeg portfolios are almost entirely made up of low-cost exchange traded funds....
...Value versus growth? We don’t have a big data problem there; we have a small data problem....
...“China’s growth is slowing and it’s just not where it used to be,” said Angela Miller-May, chief investment officer of the $52bn Illinois Municipal Retirement Fund, adding that her fund had “minimal” exposure...
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