May 19, 2015
One of the most-discussed sessions at the recent Russell Institutional Summit was “Investing Sustainably”, which featured Christianna Wood, CEO, Gore Creek Capital Ltd. (and former Senior Investment Officer for CalPERS) and Mark Walker, Unilever’s Global Chief Investment Officer. The sound bite that stuck with me was Mark’s comment that “it’s sometimes better to think of these issues as future financial rather than non-financial.”
By Bob CollieMay 13, 2015
Last year, Russell described a new approach to liability-driven investing (LDI) that concentrated on longer-dated cash flows, rather than treating all liabilities as equally important. The approach is called “hedge long first”, or HLF. At the Russell Institutional Summit held last week in New Orleans, David Phillips and Marty Jaugietis expanded on this idea and looked at some of the implications for portfolio construction.
By Bob CollieMay 6, 2015
The question of fiduciary responsibility—and specifically minimization of the risk of lawsuits—has been a growing concern for many retirement plan sponsors in recent years. It has reached the point where the specter of potential litigation is weighing too heavy in too many decisions that are being made to the detriment not only of plan sponsors, but also of participants.
By Bob CollieApril 29, 2015
Investment would be much simpler if the way that markets reacted to any given event was completely predictable: “if X happens, then Y always follows” would make for an easier life for all of us. But markets are not that well-behaved.
By Bob CollieApril 22, 2015
With recent legislation greatly increasing premiums payable to the PBGC, they have now reached a level at which they become a material consideration in decisions such as funding, risk transfer and investment policy.
By Bob CollieApril 16, 2015
With interest rates at astonishingly low levels – even to the point of some instruments offering negative yields – what’s an investor to do? Some may decide that the answer is to take more risk and look for more return from other sources. But it may make more sense for some investors to look to reduce the amount of risk that they are taking.
By Bob CollieApril 8, 2015
It has long been the norm among institutional investors to delegate certain functions to others. But the extent to which this is being done and the scope of responsibilities that are being outsourced are growing.