Pension funds still allowing further member accrual have been thrown the lifeline of ‘buyout’ in a new deal that could see further volume in the already burgeoning sector.
Disposition and over-confidence effects are important factors contributing to the fact that momentum strategies work only in longer
formation and holding periods.
Derivatives and other hedging strategies are logical solutions for corporate pension funds in the United States as they face heightened volatility along with interest rate and market movements amid a constrained bond market, investment consultants say.
Small pension investors are warming to outsourced or fiduciary management approaches, but refusing to relinquish final control; large investors are moving away entirely.
In order to survive and have a chance to produce long-term performance, investors have to live up to their constituencies in the short run, according to a memo from Oaktree Principal and Chairman Howard Marks.