Columns
Viewpoint: Learning from the Nordics for impact investing
A meaningful allocation is important
Viewpoint: Time to start rebalancing portfolios
A whiff of ‘stagflation’ – meaning an economic slowdown accompanied by higher inflation – could soon be wafting into financial market
Social risks impact on employer covenant
The UK’s Department for Work and Pensions (DWP) recent consultation – Consideration of social risks and opportunities by occupational pension schemes – seeks to assess how trustees understand ‘social’ factors and how they aim to integrate financially material social factors into investment and stewardship activities.
Notes from Switzerland: Work in progress
History repeats itself, first as tragedy, second as farce: now another referendum result in Switzerland is poised to obstruct changes designed for a long-term impact.
ESG: progress but still much road to travel
Good things are happening in the land of ESG. Aspects of the European Commission’s sustainable finance action plan regulation have certainly been frustrating, but the sustainable finance disclosure regulation (SFDR), for example, does look like it could end up having a beneficial effect, even though there are still problems associated with it and the effect is perhaps not the one that was envisaged for the SFDR.
Governance must be the embedded solution
Europe now has approaching two decades of experience with the investment outsourcing that is loosely called fiduciary management, or sometimes outsourced CIO (OCIO), to use the US terminology.
Viewpoint: Bursting the bubble
Do widespread narratives about speculative bubbles stand up to the evidence?
Viewpoint: Why companies and investors must leave ESG ratings behind
ESG ratings are an oversimplication, says Alexandra Mihailescu Cichon of ESG data science firm RepRisk
Notes from the Nordics: GPFG brought into politics
The Norwegian Government Pension Fund Global (GPFG) is a phenomenon – the world’s largest sovereign wealth fund owned by a population of just 5.3m, accounting for a sixth of all SWF assets and the owner of 1.5% of all listed equities.
Establishing a sustainable path
Investors increasingly want to take a more environmentally, socially and governance-conscious approach to investing. Despite the growing choice of ESG strategies, the wide range of products and a lack of uniformity can make it difficult to compare the options.
The recovery does not eliminate systemic risk
The world’s economy is already recovering from the damage inflicted by the lockdown measures imposed to contain the spread of COVID-19 in 2020.
The rising tide of corporate governance
In the last year, there has been a broad shift in corporate governance focus towards social issues, including human capital management – the ‘S’ of ESG.
Letter from US: Hybrid plans in focus
The move from defined benefit (DB) pension plans to defined contribution (DC) has been ongoing for years in the US, both in the private and public sector. But more recently many state and local governments have adopted hybrid designs.
Letter from Australia: When the ‘kill switch’ misfires
The Australian government is attempting to push through Parliament legislation that would selectively benchmark the performance of superannuation funds – but has given up its intention to override investment decisions made by super funds.
Letter from US: The rise of the new alternatives
Pension funds and other institutional investors used to invest in hedge funds aspiring to outperform public stock and bond benchmarks. Now, after years of disappointing performances, they have changed their attitude. They still invest in hedge funds, but the new expectation is simply to get a few percentage points above the return on zero risk investments.
Letter from Australia: Coalition mulls super hike
There are arguments both for and against a rise in compulsory superannuation contribution rate as Australia emerges from the COVID-19 pandemic .
Letter from US: Aid without reform set to resolve the multi-employer pension plan crisis
Until March, The prospective collapse of multi-employer pension plans meant that over one million retired truck drivers, shop assistants, builders and other members of 186 schemes were at risk of losing their retirement benefits.
Letter from Australia: A question of gender imbalance
Statistics offer a snapshot into the real world and they reveal a depressing picture of gender inequality in Australia’s superannuation system.
Books: It all boils down to the three Ds
Paul Marshall’s pocket guide to fund management covers multiple subjects, each of which really deserves its own book. Nonetheless, he writes well, and has produced a diverse and entertaining work.
Book review: Radical Uncertainty by John Kay and Mervyn King
Within the terms of their own analysis, the authors of Radical Uncertainty might be remembered for a prescience they could neither possess nor aspire to
Book review: The Signs Were There - Spilling the saucerful of secrets
Tim Steer’s romp through the world of dodgy accounting practices and share price debacles is beyond shocking. He brings together his forensic examinations of publicly quoted companies’ accounts, and demonstrates clearly that “the signs were (indeed) there” in a way that induces reader incredulity.
Book review: Only the Best Will Do
Peter Seilern, the founder of Seilern Investment Management, has a reputation for investing in ‘quality growth companies.’ In reading his credo ‘Only the Best Will Do,’ you realise this career-long passion reaches almost religious dedication. Never mention ‘value investing’ in his presence.
Book review: Achieving Investment Excellence
Fix asset allocation and the numbers will follow. This rule of thumb originated from an influential study published in 1986, which showed that 93.6% of variations in a portfolio’s returns are due to asset allocation policy.
Book review: The Rise of the Working-Class Shareholder
David Webber is well placed to rehearse the legal and political arguments around public pension funds’ power to change companies
