1. The true reason hedge funds performed so poorly in 2008
2008 was one of the worst years for equity markets, yet hedge funds did not provide the diversification benefit that was expected of them. What happened?
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2. Special report: Is SRI sustainable in a downturn?
This package includes a compilation of stories reported from the SIO Conference recently wrapped up in Winnipeg, as well as other recent events concerning governance. These articles probe the future of an investment model built on principles other than returns.
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3. Microfinance funds gaining popularity among pension plans
In 1983, Muhammad Yunus began issuing $20 ”microloans” to some of the poorest members of the Bangladeshi population to provide them with a means of subsistence. The idea was a success. Not only were the vast majority of loans repaid, but a large number of borrowers were able to pull themselves and their families out of poverty.
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4. The truth about securities lending
While securities lending has been vilified in the media, experts say it’s not the devil everyone thinks it is—it’s just misunderstood.
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5. High fees hobble infrastructure mandates
The current fee structures featured by many infrastructure funds are flawed and are impeding take up by institutional investors, according to Watson Wyatt. However, with a few changes, such funds may see a sharp rise in investor interest.
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6. Canadian pension plans sticking with SRI
Despite the current financial crisis, Canadian pension plans are not cutting back on their socially responsible investing (SRI) commitments.
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7. The politics of infrastructure
The politics that naturally accompany infrastructure projects are a major headache for the private half of public/private partnerships (P3s), resulting in cumbersome decision-making and slow implementation, according to a KPMG International survey. However, the asset class is nevertheless expected to grow in popularity with institutional investors.
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8. Up close and personal with UNPRI
Responsible investment (RI) is increasingly gaining traction in the U.S. and Canada due, in part, to the United Nations Principles for Responsible Investment . Presenters at a recent seminar shared their experiences of implementing the six principles—which were developed by an international group of institutional investors to reflect the importance of environmental, social and governance (ESG) issues—into their investment strategies and practices.
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9. Hedge fund industry willing to open up
The Alternative Investment Management Association says it wants to work with global regulatory initiatives to improve the transparency of hedge fund activity.
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10. “Can’t Regulate Good Judgment” for Hedge Funds
The hedge fund industry grew too large, too fast, and too stupid—that seems to be the consensus of three hedge fund managers who thrived in 2008 and who expect the collapse of the world’s current financial system to get rid of the losers.
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