February 2021
05Feb

Portfolio Management for Insurers and Pension Funds and COVID-19: Targeting Volatility for Equity, Balanced and Target-Date Funds with Leverage Constraints

By Bao Huy Doan, Jonathan J. Reeves, Michael Sherris Insurers and pension funds face the challenges of historically low interest rates and volatility in equity markets, that have been accentuated due to the COVID-19 pandemic. Recent advances in equity portfolio management with a target volatility have been shown to deliver improved on average risk adjusted return, after transaction costs. This paper studies these targeted volatility portfolios in applications to equity, balanced and target-date funds with varying constraints on leverage....

February 5, 2021
Articles, Investing, Pension Management, , ,
Read more...
04Feb

Gulf’s pension funds can learn something from Norway

The initial set of 2020 financial results from listed companies offers an opportunity to evaluate not just their performance but the strength – or otherwise - of their operational strategies. This is due to multiple considerations, most notably the exceptional situation created by the pandemic and the challenges – and opportunities - imposed on individual economies and the global economy as a whole. What we see are some entities taking advantage of the crisis to turn in substantial profits,...

February 4, 2021
News, Slider, , , ,
Read more...
04Feb

Ontario teachers pension fund gains $500 million by cashing in on GameStop stock rebellion

Wall Street's hedge funds are set to lose tens of billions of dollars after a mob of traders on Reddit's WallStreetBets page sent GameStop, AMC Entertainment, and other stocks skyrocketing in recent days. However, some Canadian entities are cashing in on what is being touted as the "biggest short squeeze in 25 years." Ontario Teachers' Pension Plan—the largest shareholder in U.S. mall owner Macerich Co.—reportedly sold its entire holding for nearly $500 million when the stock soared. According to...

February 4, 2021
News, Slider, , ,
Read more...
03Feb

Global Equity Release Market Set To Triple By 2031

International research published by EY predicts that the global equity release market could more than triple over the next decade. The Global Equity Release Roundtable 2020 survey report analyses information from market leaders across 13 different countries (including Heartland Reverse Mortgages in Australia and New Zealand). According to the data, the growth potential of this market is huge. Over $15bn of equity is currently released per year globally, and by 2031 this is expected to surpass $50bn annually. That’s...

February 3, 2021
News, Slider, ,
Read more...
03Feb

PGIM Real Estate raises £190m to launch UK Affordable Housing Fund

PGIM Real Estate has launched its UK Affordable Housing Fund, with an initial capital raise totaling £190 million, from the Northern LGPS and Brunel Pension Partnership. The open-ended income-focused UK Affordable Housing Fund targets a total return of 6-9% per annum, net of fees and costs, by investing in and developing affordable homes for working people and families across the UK. The Fund is also able to leverage, giving it the potential to deploy up to £250 million at...

February 3, 2021
News, Slider,
Read more...
01Feb

UK. Corporate bonds could offer ‘untapped potential’ for sustainable pension investments

Corporate bonds could offer “untapped potential” for improving the sustainability of investments, despite a "notable" absence of sustainable-labelled buy and maintain corporate bond strategies, analysis from LCP has found. The firm explained that with defined benefit (DB) pension schemes gradually maturing and de-risking, holdings of bonds are set to increase, with many companies using the corporate bond market to raise cash as an alternative to issuing new equity at the same time. This in turn has seen a “steady flow” of...

February 1, 2021
News, Slider,
Read more...
01Feb

UK. Smart Pension commit to move away from fossil fuel investments

Smart Pension has today (February 1) committed to halving its scheme emissions before 2030.  The prominent UK master trust has signed up Make My Money Matter, a campaign which is fighting for a world where we all know where our pension money goes. There is currently over £3 trillion in UK pensions, and this money which is owned by all of us is invested to build our savings for the future. But many of us do not know where this money...

February 1, 2021
News, Slider, ,
Read more...

January 2021

29Jan

CalPERS 2019-20 Annual Performance Report

By CalPERS The 2019-20 CalPERS Annual Performance Report provides a snapshot of our performance during the fiscal year and how we monitor our progress towards achieving our strategic goals and operational outcomes.* This report demonstrates our pledge to operate in an open and transparent manner. Our employees, members and stakeholders can see where we’re successful and where additional support may be needed. The pandemic hit the global economy very hard, but we’ve been preparing for...

January 29, 2021
Books, Pension Management, ,
Read more...
27Jan

US. Investment Earnings Drive 71% of Public Pension Revenue

Earnings on investments accounted for 71 percent of public retirement system revenues, while employer and employee contributions provided 20 percent and 9 percent respectively, according to an annual study by the National Conference on Public Employee Retirement Systems. Hank H. Kim, Esq., executive director and counsel of the National Conference on Public Employee Retirement Systems The share of revenues that comes from investment earnings edged up from 69 percent a year earlier, while the employer contribution dipped from...

January 27, 2021
News, Slider, , ,
Read more...
27Jan

Analysis: Sovereign wealth, public pension giants caught up in U.S.-China tech fight

Some of the world’s biggest sovereign wealth funds and public pension funds are getting caught in the escalating tensions over technology between the United States and China, a Reuters analysis of their filings data and public disclosures show. Read also US. Biden May Have to Move Quickly to Reverse Anti-ESG Rule They range from Norway and Singapore’s giant sovereign wealth funds to Switzerland’s central bank and the $1.1 trillion U.S. TIAA, founded over a century ago by Andrew Carnegie as...

January 27, 2021
News, Slider, , ,
Read more...