While recent manager performance has raised concerns about active management, US consulting firm Rogerscasey believes that active management is often called into question at precisely the wrong time. And while passive investing has proven to be a cost effective way for some investors to access some portions of the capital markets, there are situations where hiring a fund manager is the more appropriate course of action. This research brief by Chris Thompson, director in the alpha investment research group, outlines the consultant’s case.
In a first for the US market, several institutional investors are searching for an investment manager capable of running emerging market equities in alignment with rigorous environmental, social and governance (ESG) standards.
This paper by Scott Berg, global large cap equity portfolio manager at T Rowe Price examines the secular growth trends that have underpinned emerging markets and whether there is still an argument for exposure to these markets within a global equities portfolio.
Managing director of Adveq, Peter Laib, believes private equity fund-of-fund portfolios need more analytical oversight and that diversification should be driven by the timing of capital in the market, not the number of funds. He spoke with Amanda White about the next phase of private equity as an asset class.
Wilshire’s annual review of CalPERS’ internal risk managed absolute return strategies (RMARS) has revealed a number of anomalies compared with its other global equity investments, including an over-reliance on quantitative tools and inadequate staff compensation incentives.
Four of Sweden’s national pension funds (AP1-4) have collaborated with another nine investors to form the Swedish arm of The Sustainable Value Creation, and have already begun surveying the top 100 companies on the NASDAQ OMX Stockholm regarding their governance policies and sustainable value creation.