Investment Archives - Page 54 of 143 - Pension Policy International

30OctOctober 30, 2023

Nest partners with Blackrock to manage investment risk

Nest has selected Blackrock’s Aladdin to manage the risk of its entire investment strategy on a single platform. The UK’s largest workplace pension scheme by members, Nest highlighted the management of key investment risks as a “crucial part” of its long-term plan to continue evolving its investment strategies across both public and private markets. The whole portfolio view and Aladdin climate components of the Aladdin platform aim to allow Nest to monitor more than 3,000 risk factors across fixed income, equity,...

October 30, 2023

NewsInvestment

27OctOctober 27, 2023

Determinants of Portfolio ESG Performance: An Attribution Framework

By James J. Li We develop a parsimonious attribution framework for evaluating the ESG performance of a portfolio. Our attribution model decomposes portfolio ESG performance into three principal components: a value effect, a weighting effect, and an interaction effect. We illustrate our approach using the equity portfolios of U.S. public pension funds over time. We find that U.S. public pensions’ positive ESG performance over the past decade is mainly due to their underlying holdings boosting their ESG scores over this...

October 27, 2023

Articles, Pension Management2023, ESG, Investment, Public Pensions

27OctOctober 27, 2023

S.Korea pension fund to keep increasing overseas investments through 2028

South Korea's National Pension Service (NPS) will increase its overseas investments to 60% of total assets by 2028, the welfare ministry said on Friday. The NPS will also prepare a portfolio-setting mechanism to expand alternative investments more easily, employ more personnel for such investments, and diversify its portfolio with mid-risk, mid-return investments. With the measures, the NPS aims to improve its investment returns by one more percentage point to help sustain the fund, which is expected to be depleted by 2055...

October 27, 2023

NewsInvestment, South Korea

26OctOctober 26, 2023

US. Pension risk transfer pipeline remains robust, even if falling short of 2022 record

The U.S. pension risk transfer market remains robust in 2023, although it may not break the record for dollar volume set in 2022, experts say. This is despite a new record for dollar volume in the first half of 2023, totaling $22.5 billion in premiums paid for pension buyout transactions, according to research firm LIMRA. In 2022, the total volume was $48.3 billion, driven primarily by corporate pension funds' improving funding ratios, which have enabled many to pull the trigger on...

October 26, 2023

NewsInvestment, Risk, US

26OctOctober 26, 2023

Britain tells pension funds change needed to improve returns

Britain will not force pension funds to consolidate or invest in high-growth companies, but there must be change in the sector to give pension holders better long-term returns, finance minister Jeremy Hunt said on Wednesday. Hunt launched the "Mansion House Compact" in July to help channel cash from direct contribution pension funds into unlisted companies to boost Britain's economic growth. The government wants to persuade pension schemes to invest some of their funds in infrastructure as well as startups and green technology. Ten companies...

October 26, 2023

NewsInvestment, Returns, UK

26OctOctober 26, 2023

U.S. equities gain favor as aging population invests for longer lifespans

A recent report from Deutsche Bank contradicts concerns about America's aging population straining healthcare and pensions, suggesting that healthier, longer-working individuals will adjust their investment and consumption patterns, thus averting a fiscal crisis. The report highlights the global rise in life expectancy and the proportion of the median age—now above 40%, a significant increase from 35% in 1986. The authors note an uptick in working years beyond traditional retirement age, leading to higher returns via a shift towards stocks over...

October 26, 2023

NewsInvestment, US

25OctOctober 25, 2023

MPs pension scheme abandons UK stocks

MP retirement savings have been pulled out of British companies – despite the Chancellor pushing pension schemes to invest tens of billions in UK business. Jeremy Hunt has called on pension funds to plough at least 5pc of their assets into British start-ups and private equity in a bid to boost growth. However, his own Parliamentary pension scheme now invests just 1.7pc (£14m) in British companies, down from nearly 12pc the year before. When Mr Hunt first announced the policy at his...

October 25, 2023

NewsInvestment, Public Pensions, UK

25OctOctober 25, 2023

World’s largest sovereign wealth fund loses $34 billion as all asset classes fall in third quarter

Norway’s $1.4 trillion sovereign wealth fund, the world’s largest, on Tuesday reported losses of 2.1% in the third quarter, as all asset classes fell in value. The so-called Government Pension Fund Global returned a loss of 374 billion Norwegian kroner ($34 billion) in the third quarter, citing a weaker three-month period, compared with the first half of the year. The results were still 0.17 percentage point stronger than the return on the fund’s benchmark index. The fund last reported a quarterly loss...

October 25, 2023

NewsInvestment, Norway, Pension Management

23OctOctober 23, 2023

US. Private equity is past its peak, warns Pulitzer Prize-winning

A new business book calls into question the business model of private equity and argues the strategy won’t generate the same returns as in prior decades. Since the 1970s and 1980s, firms such as Apollo Global Management, Blackstone, Carlyle Group and KKR & Co., among others, made money in leveraged buyouts, more recently dubbed private equity, in which the firms buy up companies using investor assets, leverage them and aim for more efficiencies and higher profits. Institutional investors have come to...

October 23, 2023

NewsInvestment, Pension Management, US

23OctOctober 23, 2023

UK. Billions in local government pensions invested in fossil fuels – analysis

Billions in local government pensions have been invested in the fossil fuels industry, according to new analysis. Environmental campaign groups Friends of the Earth and Platform London analysed data gathered through Freedom of Information requests. The groups said they were able to analyse data covering 75% of the assets under management for the Local Government Pension Scheme (LGPS) – one of the largest schemes in the country – for the financial year 2021/2022. They found at least £12.2 billion invested in fossil...

October 23, 2023

NewsESG, Investment, UK

October 2023