Poor Returns to Erase Years of US Public Pension Gains
Moody’s predicts the unfunded liabilities of American public plans will increase by at least 10% in 2016.
Risk
Why Investors Should Sit Out Volatility
Minimizing risk exposures during periods of market volatility can result in “substantial” alpha and doubled Sharpe ratios, according to Yale professors.
NYC Pensions Begin ‘Critical’ Reforms
Understaffing, inadequate technology, and risk management issues are among the problems being tackled by New York City’s Bureau of Asset Management.
How a Pension Fund Will Fare in a Low-Carbon Economy
Reducing emissions won’t be easy on equity-heavy investors like CalSTRS—but it’s still better than the alternative, Mercer reports.
How Short-Term Activists Hurt Long-Term Investors
Research shows short-term investors pressure firms to create artificial earnings at the cost of long-term gains.
Playing Risk Management Whack-a-Mole
Eliminating one risk can often mean exacerbating another, argues Wilshire chief Andrew Junkin.
Corporate Pensions Seek Protection Against PBGC Hikes
Increasingly costly insurance premiums are forcing plan sponsors to find ways to get funded, fast.
$20 Billion Club: Funding Up Despite Poor Returns
Deficits fell for the 20 largest corporate pensions in the US in 2015 despite a year of “anemic” returns.
How Sharpe Ratios Can Fail
Risk measures used for Sharpe ratios are not consistent with investors’ long-term time horizon, Aon Hewitt says.
The Death of LDI?
In some locales, the theory of liability-matching is coming up against the reality of markets.
Pensions to Revamp Governance, Ramp Up Alts
Governance, efficiency, funding levels, and talent development were among areas highlighted for improvement by a survey of pension funds.
PwC: Returns Not Enough for Success In Asset Management
Long-term performance, corporate responsibility, and adaptation to technology are just as important for asset managers that want to stay competitive.
Volatility Is at ‘Normal’ Levels, Says CalSTRS
The $186 billion public pension’s risk team has analyzed recent market turbulence and some seldom-discussed tail risks.
Asness Debunks Fama’s Views on Momentum
The debate over whether investors can capture returns from momentum strategies “should be put to bed,” according to the founder of AQR.
The Idiot’s Guide to Portfolio Insurance
Is hedging your equities portfolio against market risks worth it? Experts say it rarely pays off.