There is more opportunity to capture value-added returns by focusing on the long-horizon end of the investment spectrum, than join the over-crowded short-horizon end where most investment management is conducted, according to president and chief executive of the Canadian Pension Plan Investment Board (CPPIB), David Denison.
Spillover effects of counter-cyclical market regulation
Professor of finance at the EDHEC Business School and member of the EDHEC Risk Institute, Abraham Lioui, looks at the spillover effect that counter-cyclical regulation affecting one part of the market, banning short-selling, has on the broad market. By examining the effect of the ban on short-selling in 2008 on market indices in the US and Europe the research shows a broad impact on the markets, which did not ease the downward pressure in financial markets.
CalPERS urged to pull back commodities risk
CalPERS’ internal commodities team should enforce a tracking error limit for the portfolio it manages, and prepare to boost headcount and resources as investment opportunities evolve and funds under management grow, the fund’s primary asset consultant, Wilshire Associates, found in a review.
Corporate US plans expect too much
US corporate defined-benefit plans are still severely underfunded, with an artificially high return expectation contributing to the situation, according to a report of the funding status of 308 US corporate defined benefit plans by Wilshire Consulting.
Global instos collaborate on measuring water risks
Norges Bank Investment Management is leading a consortium of more than 130 institutions globally in a disclosure project aimed at providing investors with a comprehensive assessment of the water risks of the companies they invest in.
Wilshire survives and retains CalPERS consulting tender
Wilshire Associates has survived another competitive tender, trumping RogersCasey in the interview scoring process to retain the position of CalPERS’ lead general investment consultant, a position it has held since 1983.
