Institutional Investing

Full-body scans–not just for airports anymore

Jun 20th, 2011 | Filed under: Hedge Fund Industry Trends, Institutional Investing, Today's Post

Preqin's latest report overwhelmingly confirms that transparency is here to stay for hedge fund managers vying for institutional capital.


What institutional hedge fund investors really want

Jun 19th, 2011 | Filed under: Institutional Investing, Today's Post

A new report on the needs of institutional hedge fund investors amounts to a manifesto for reform among the world's hedge fund managers.


Learning to swim in alpha-bet soup

Jun 14th, 2011 | Filed under: Hedge Fund Industry Trends, Hedge Fund Regulation, Institutional Investing, Today's Post

There's nothing like a good list of acronyms to confuse even the most immersed hedge fund aficionado. A new report by KPMG and RBC Dexia unintentionally takes the industry's affinity for acronyms up a notch.


Infrastructure Investments: Maybe not for conservative investors after all

Jun 2nd, 2011 | Filed under: Institutional Investing, Today's Post

Traffic at airports, on railroads, and on toll highways is pretty stable. So you might expect investments in these assets to be commensurately stable, but think again...


Come and get it! The private equity buffet is back in business

Jun 1st, 2011 | Filed under: Institutional Investing, Private Equity, Today's Post

Investors and managers alike are moving back toward the smorgasbord of different types of alternative investments that is private equity, but there are still signs that indigestion and tummy aches may come back to haunt.


Private equity and real estate: Wanna buy a bridge?

May 25th, 2011 | Filed under: Institutional Investing, Private Equity, Today's Post

It's tough to argue that private equity and real estate aren't the most intuitive investment this days, but a recent report suggests institutional investors are seeing some promise.


Sovereign Wealth Funds: In it for the money or the policy objectives?

May 5th, 2011 | Filed under: Institutional Investing, Today's Post

Most sovereign wealth funds have two objectives: to make money and to achieve the state's economic development objectives. Two scholars recently tried to measure the possible "tension" between these competing interests. What they found will be very useful for anyone trying to sell their services to a SWF.


Study: University endowments really are smarter investors!

Apr 25th, 2011 | Filed under: Institutional Investing, Today's Post

The University of Texas endowment recently revealed that it had nearly $1 billion of gold hidden away in their basement. This might be a good time to revisit whether US endowments are really that smart.


From poison pens to poison pills: New, improved, and definitely more bitter for activist hedge funds

Apr 19th, 2011 | Filed under: Hedge Fund Industry Trends, Institutional Investing, Today's Post

Much to the chagrin of activist hedge fund managers, poison pills are making a comeback - in new and more lethal forms. For managers in particular, reading the label and following the directions is more important than ever.


Turn that tap off! The search for illiquid investments is on…

Apr 13th, 2011 | Filed under: Hedge Fund Industry Trends, Institutional Investing, Today's Post

It's getting easier to lead an institutional manager to illiquid strategies - not water - according to a recent survey by eVestment Alliance and Casey Quirk. But after what happened in 2008, why would they drink?


Universe returning back to normal as alternative investing “relationships largely restored in 2010″: NACUBO

Apr 7th, 2011 | Filed under: Institutional Investing, Today's Post

Despite talk of a "new normal", a closely-followed annual review of US endowment investing reveals that we're finally moving back to the "old" normal.


A Spectrum of Specialisation: Study of 3,000 UK pensions chronicles death of balanced mandates

Apr 4th, 2011 | Filed under: Institutional Investing, Today's Post

A new study shows that the adoption of alternative investments by pension funds is really just part of a longer term trend toward specialization in investment management (think: hedge funds).


Matchmaker, matchmaker make me a match – unless it’s a public pension…

Apr 3rd, 2011 | Filed under: Institutional Investing, Today's Post

Hedge fund matchmakers are facing new rules when it comes to matching their clients with public pension funds. The question is whether it's a growing trend or will the matchmakers will soon start looking for different matches.


“I didn’t do it” and “she hit me first” don’t cut it for pensions: report

Mar 28th, 2011 | Filed under: Institutional Investing, Today's Post

Blaming swooning financial markets and the recession for funding shortfalls has become a national pastime among U.S. pension funds. A new report suggests that they need to stop pointing fingers and start taking responsibility for their actions.


Study: Public pension funds in a dangerous race with one another. Should focus on liabilities first.

Mar 24th, 2011 | Filed under: Academic Research, Institutional Investing, Today's Post

A study of 125 U.S. state pension plans reveals that management incentives, misguided accounting standards and conflicting interests could perpetuate a funding gap roller coaster.


Climate Change: A core part of strategic asset allocation or an “extra-financial” distraction?

Mar 7th, 2011 | Filed under: Institutional Investing, Today's Post

A recent Mercer report proposes a way to integrate climate change into financial decision-making. Could this finally move climate change from the social agenda to the financial agenda?


Think you know all about infrastructure investments? Think again.

Mar 3rd, 2011 | Filed under: Institutional Investing, Today's Post

Infrastructure investments remain a hot trend among institutional investors, though a new report suggests they are a lot more complicated - and risky - than as commonly perceived.


Fan Favorites: The Alternative Investment “People’s Choice Awards”

Feb 28th, 2011 | Filed under: Institutional Investing, Today's Post

A recent scan of the financial reports of 150 major pension funds reveals the world's most popular alternative investment managers. Here's an award not even Lindsay Lohan could win.


Sovereign wealth funds to alternative investments: It depends on our mandate (mostly)

Feb 24th, 2011 | Filed under: Institutional Investing, Today's Post

A working paper by researchers at the IMF suggests there are four relatively distinct types of sovereign wealth funds. And once you know the fund type, you can guess at their appetite for alternative investments.


REITs beaten up in crisis, now back for revenge.

Feb 17th, 2011 | Filed under: Institutional Investing, Today's Post

Full points for stamina! After dropping by more than half between 2006 and 2008, REITs are nearly back to their pre-crash size. But do they have what it takes to succeed in the long term?


The house that REITs built… casting a shadow on hedge funds?

Feb 14th, 2011 | Filed under: Institutional Investing, Real Estate, Today's Post

Real estate in various forms continues to gain favor among institutional investors. For hedge funds, the problem is the shadow being cast.


Ok people: stretch those muscles, and let’s invest in a way that has a positive impact!

Jan 6th, 2011 | Filed under: Institutional Investing, Today's Post

Not to be confused with crashing and burning or with high-intensity workouts, impact investing promises to be the next step forward in earning a return and being socially and politically responsible. What remains to be seen is how many institutions will adapt to it.


Report suggests alternative investment allocations could be impacted by new pension accounting rules

Jan 5th, 2011 | Filed under: Institutional Investing, Today's Post

Hedge fund allocations at US pension funds could be the victim or the beneficiary of changes to pension rules currently being debated internationally.


It’s getting easier being green, but can it produce a return?

Dec 16th, 2010 | Filed under: Hedge Fund Industry Trends, Institutional Investing, Today's Post

For institutions, it's easier than it used to be to put money to work in "green" investments. The question is whether they can still earn a decent return doing it.


A closer look at BofA Merrill Lynch’s new survey of institutional investors

Dec 15th, 2010 | Filed under: Institutional Investing, Today's Post

A recent poll of institutional investors reveals "bullishness" about alternative investments, but also provides some food for thought about emerging managers, liquidity and return chasing.


Death, Where is Thy Payout?

Dec 8th, 2010 | Filed under: Institutional Investing, Today's Post

Death: Uncorrelated with the equity beta - as long as market volatility doesn't give us all heart attacks.


New “Alpha Index” helps trade apples against oranges

Nov 4th, 2010 | Filed under: Institutional Investing, Today's Post

Inventor of VIX adds a new flavor to the fruit salad of financial indexes.


Pension funds and minor hockey: not really that different

Oct 28th, 2010 | Filed under: Institutional Investing, Today's Post

If pensions funds were hockey teams, it seems many of them probably wouldn't want to watch the scoreboard too closely.


For hedge funds, is China ultimately going to go the “yuan” way?

Oct 27th, 2010 | Filed under: Institutional Investing, Today's Post

Hedge funds and others are trying their best to ensure they don't make the "yuan" moves as China maneuvers it's way to tighter monetary policy.


Alphabet Soup of REITs satisfies world’s thirst for liquid real estate

Oct 26th, 2010 | Filed under: Institutional Investing, Today's Post

Real estate investment trusts (REITs) are gaining popularity around the world. REIT-on dude!


Alpha generators to beta grazers: mooove over for currency managers

Oct 21st, 2010 | Filed under: Academic Research, Institutional Investing, Today's Post

A new academic paper suggests alpha does exist after all - just not in the form or format that many investors think.


Conflicting pension fund studies? One: “Small is beautiful.” The other: “Bigger is better.” What up?

Oct 18th, 2010 | Filed under: Academic Research, Institutional Investing, Today's Post

A study based on newly available pension fund data suggests that there are significant economies of scale in pension fund management. But a recent study based on the same data seemed to conclude the opposite.


Co-investing alongside hedge funds? Could be lucrative, but read this first…

Oct 17th, 2010 | Filed under: Academic Research, Institutional Investing, Today's Post

A new academic paper puts more blame on hedge funds for the 2008 credit crisis and market collapse, arguing that liquidity risk in stocks is inherently higher among securities held by hedge funds than in securities held in the portfolios of individual investors and banks.


Aerosmith Alpha or Bowie Beta?

Oct 4th, 2010 | Filed under: Institutional Investing, Today's Post

How alternative music can turn into alternative beta.


Researcher to Critics of “Yale Model”: Not so fast!

Sep 29th, 2010 | Filed under: Academic Research, Institutional Investing, Today's Post

Those who blame alternative investments for the travails of US university endowments may want to read this recent paper.


Springtime for M&A in alternative investments? (Part 2)

Sep 26th, 2010 | Filed under: Hedge Fund Industry Trends, Institutional Investing, Today's Post

M&A activity in the hedge fund space continues to thrive, though it's not green shoots and blooming roses for all, as a new report by Freeman & Co. shows.


Pension Funds: Okay, forget 8%. Just get us out of this hole!

Sep 23rd, 2010 | Filed under: Institutional Investing, Liability Driven Investing, Today's Post

For pensions it's quickly gone from 8%-plus assumed returns to fighting just to keep the assets and liabilities in sync.