The Smart Beta Trade-Off
Low volatility, broad diversification, low tracking error, and high liquidity: A Lyxor paper takes on investors’ indexing wish lists.
Asset Allocation
Is Levering a Portfolio Ever Worth It?
Transaction costs can reduce the value of leverage by a factor of 2000, Berkeley researchers contend, making it not worth many investors’ while.
Investors Renew Push to Hedge Funds
More money is going in than coming out of the hedge fund sector.
Real Assets, Mezzanine Debt, and Liquid Loans: A Recipe for Investment Success?
Investors can achieve their return aims, even in a low-yield environment, by thinking outside of the traditional investment box, JP Morgan Asset Management has found.
Malaysian Pension Giant Invests $660M in Euro Real Estate
The appetite for industrial real estate in the Eurozone continues.
Where Your Bond Duration Comes from (and Why It Matters)
Ask not just what the bond duration is, but where it comes from.
Who’s the Most Consistent Private Equity Performer?
Consistently good performance is the Holy Grail for investors—Preqin has listed those currently leading in private equity.
Major Public Pension Gets Agile with Derivatives Overlay
Pension Profile: The UK’s Merseyside Pension is tired of missing out on performance by being too slow to react.
Infrastructure: US Managers, European Assets, and Asian Opportunities
The infrastructure investment market hasn’t truly globalized, according to Preqin data, which shows managers and deals have clustered in the developed world.
If Risk Parity is Fallible, What’s the Sharpe Option Now?
What a difference three months makes—risk parity’s wobble has deposed the strategy’s winning long-term risk-adjusted return.
China Slow-Down Compounds Emerging Market Fears
The souring investor sentiment against China continues, with 65% of investors believing its economy will weaken, according to new research.
Where is the Sweet Spot for Hedge Fund AUM?
Size matters when choosing a hedge fund, and bigger isn’t always better.
Alternative Indices Strategies Rise, But Are Investors Buying it?
An influx of smart beta indices hits the markets, but institutional investors remain hesitant to commit cash.
EDHEC: Construction Risk is Good for Investors
Institutional CIOs should recognise the benefits of infrastructure debt, and embrace construction risk as a welcome diversifier for their portfolios, finds EDHEC’s white paper.
The Danger of the Binary Direction of DC Investment
UK contract-based DC funds’ focus on keeping things cheap is doing a disservice to members, the industry has claimed.