Life always has a fat tail, according to American economist Eugene F. Fama. When the hedge fund Amaranth lost more than $6 billion due to natural gas bets, it was reported that their risk models had not predicted such a loss. More recently, the Bank of Montreal also reported losses of $680 million from its […]
There are three interesting characteristics that make infrastructure a compelling investment for investors, said Frank Belvedere yesterday at the sixth annual Canada Cup of Investment Management in Toronto. The first, he said, is long-duration assets, which are very much aligned with pension liabilities. The second is relatively high cash flows that also have a high […]
Understanding where people’s responsibilities lie at the highest levels will aid in creating an environment that adheres to a solid governance structure. Reports of underfunded plans and well-publicized class action cases—Participating Co-Operative of Ontario, Mine Jeffrey in Quebec and Enron—served to heighten the already mounting focus on pension governance. It opens up a number of […]
Investment management professionals are typically hard-driven individuals determined to win at all costs, take no prisoners and beat the competition/benchmark. So how does one manage a team of these high-performing alphas while maintaining portfolio results? High turnover is prevalent in the investment management industry, where star performers move on to greener pastures and poor performers […]
CI Financial says more than 90% of the outstanding shares of Rockwater Capital have been deposited to the offer to buy the firm. Rockwater has three related businesses: KBSH Capital Management, an investment counseling and portfolio management firm; Blackmont Capital, a full-service investment dealer; and Lakeview Asset Management, a retail investment management company. Separately, Rockwater […]
The money management industry is changing fast. What will the new face of the industry look like? The money management industry is undergoing a massive change. Just how different will managers look in the future? A report last year by McKinsey & Company called The Asset Management Industry in 2010 found that the money manager […]
The institutional investor community is a close-knit one, and one that relies heavily on the effectiveness of a strong working relationship between the three decision-makers: the sponsor, the consultant and the money manager. But, like all close relationships, we can all get on each others’ nerves from time to time. A white paper that was […]
Goldman Sachs Capital Partners may ask some of the country’s largest pension funds to help purchase Alliance Atlantis assets to avoid regulatory issues, according to a newspaper report. CanWest and Goldman’s private-equity division, GS Capital Partners, announced the acquisition last week. GS Capital Partners is looking for outside investors because it will own the majority […]
The Ontario Teachers’ Pension Plan(OTPP)has completed its purchase of three of the four marine container terminals from Hong Kong’s Orient Overseas(International)Limited. The acquisition of the two terminals in the Vancouver-area and one in New Jersey have been completed. The New York Container Terminal purchase is expected to close before the middle of the year. The […]
OMERS Capital Partners has agreed to purchase CCNMatthews and its U.S. subsidiary, Market Wire, from London, England-based the Pims Group for an undisclosed amount. Manulife Capital, the private equity group of Manulife Financial, will assume a minority stake in the newswire as a portfolio investment. “We view CCNMatthews and Market Wire as industry innovators delivering […]