Policy

How Investors Are Leaving Billions on the Table

This article is sponsored by Goal Group. Written by Noah Wortman The degree to which fund managers and custodians have a fiduciary responsibility to ensure that their clients have the opportunity to participate in securities class and collective redress actions is a hotly debated subject. Securities class actions have been moving away from the relatively [...]


Most Popular Overseas Office for Sovereign Funds

Despite the current gloom of equity markets and a “never-ending” low-yield environment, sovereign investors are continually seeking new markets to tap into. As sovereign wealth funds and large pensions grow in assets under management and expand geographic portfolio diversification, the need to open up an overseas office to source investments becomes real. Sovereign funds have [...]


Yngve Slyngstad

NO WORRIES: Norway’s Sovereign Wealth Fund is Long-Term

Media headlines have splashed about Norway’s sovereign wealth fund shrinking by more than 5% in one month. The fund owns 1.3% of all global equities – an astounding figure. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]


Norway’s Ministry of Finance Hires Advisors

Norway’s Ministry of Finance which sets policy and has influence over Norway’s sovereign wealth fund has appointed a number of advisors. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]


credit funds

3 Things Asset Managers Are Telling Sovereign Funds Now

1. Buy, Buy, Buy Short-term painful corrections are a natural force in U.S. equity markets. Sovereign wealth funds, popularly known for their long-term investment horizon, have played the role of white knights when markets sour. Asset managers are informing sovereign funds and pensions to be contrarian and jump in when panicked investors are getting out, [...]


Sovereign Funds Had Increased Ownership in Japanese Equities

Sovereign wealth funds have increased holdings in Japanese listed equities. For example, Suntory Holdings Co., Ltd., the private holding company that spun off Suntory Beverage & Food Ltd. in 2013, has gained a number of sovereign wealth fund investors. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. [...]


Are Sovereign Funds Ready for Another Market Shock?

Sovereign wealth funds such as Singapore’s GIC Private Limited, Australia’s Future Fund and the New Zealand Superannuation Fund carefully issued warnings to the media and stakeholders about expecting lower investment returns in the coming years. Will their expectations come to fruition? The first shock, the rapid drop and prolonged period of low oil prices, applied [...]


JP morgan

Goldman, JPMorgan and Morgan Stanley Unite to Form Ref Data Company

The Wall Street Journal broke news that U.S. financial giants Goldman Sachs, JPMorgan Chase and Morgan Stanley are forming a company to pull together and collect troves of data to determine pricing and transaction costs. They are calling the initiative “SPReD” – standing for Securities Product Reference Data. The newly-formed entity will first focus on [...]


Norway’s Sovereign Wealth Fund Excludes 4 Companies Over Palm Oil

Norway’s Government Pension Fund Global (GPFG), the largest sovereign wealth fund in the world, is excluding two South Korean and two Malaysian companies from its investment universe because of risks of “severe environmental damage,” it stated on August 18th. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. [...]


What if 10% of Sovereign Fund Assets Went to ESG?

The topic of environmental, social and governance (ESG) strategies is heating up (no pun intended), even gaining traction among investors who once conflicted with the idea. Pension giants like CalPERS are factoring ESG when hiring and monitoring external fund managers, especially the “E” part. CalPERS expects investment managers to go beyond being an ESG-signatory, desiring [...]


Invest AD Heads Leave

Nazem Al Kudsi, CEO of Invest AD (formerly Abu Dhabi Investment Company), has left the organization after a 7-year stint to reportedly work at Emirates International Investment Company, LLC, an Abu Dhabi-based private equity firm. Invest AD is a sovereign wealth enterprise (SWE) of the Abu Dhabi Investment Council (ADIC). [ Content protected for Sovereign [...]


JOIN US: Learn More About Institute Fund Summit 2015 Europe

Register Today Public Fund Registration Here Request an agenda to see the speakers: events@swfinstitute.org Institute Fund Summit Europe 2015 Responsible Investment 26-27 October 2015 Hotel Okura, Amsterdam www.ifsummiteuro.com 6 continents are represented by our current delegates. Learn, network and participate in an interactive forum. As of July 2015, over US$ 4 trillion of capital represented [...]


3 Reasons to Rethink Risk Parity

Seeking to justly capitalize on Modern Portfolio Theory (MPT), risk parity uses the power of leverage to form a diversified portfolio that can generate equity-like returns with using less risk than equities. This alchemist-like strategy aims to construct a well-diversified portfolio that has the highest probability of outperforming cash. At formation, a risk parity portfolio [...]


Sovereign Wealth Funds and Russia

U.S. Treasury Sanctions Russian Direct Investment Fund

The U.S. Treasury has added a number of Russian entities to its sanctions lists. One of the entities is the Russian Direct Investment Fund (RDIF) which partners with other sovereign wealth funds on deals in Russia and abroad. Essentially, the U.S. Treasury’s Office of Foreign Assistance Control (OFAC) on July 30th added the RDIF because [...]


CELEBRATE: GIC Generates Positive Return for Fiscal Year 2015

Singapore’s GIC Private Limited, one of the country’s sovereign wealth funds, released their annual report. GIC’s 20-year annualized real rate of return was 4.9%, up from last year’s 4.1% 20-year return. The sovereign investor had its best performance since 2005. However, the tone of the annual report echoes other sovereign wealth funds like Australia’s Future [...]


ADIA Appoints Hisashi Kuroda to Head Internal Japanese Desk

The Abu Dhabi Investment Authority (ADIA), one of the world’s largest sovereign wealth funds, hired Hisashi Kuroda to lead its internal equities department for Japanese equities. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]


Sitting on Close to $20 Billion in Cash, Future Fund Waits

Australia’s Future Fund has augmented its exposure to cash, getting near the $20 billion mark. The Future Fund is having a challenging time finding enough value in what it sees are overly-priced assets in the marketplace. As of March 30, 2015, the sovereign fund had $17.8 billion in cash – a 15.2% allocation to cash.[ [...]


Temasek’s Ho Ching Extends Sabbatical

CEO and Executive Director Ho Ching of Temasek Holdings has taken the option of extending her part-time sabbatical leave to six months, and will complete her sabbatical in October 2015. Ching will continue with her board duties and specific stewardship duties. She joined Temasek Holdings in 2002 as executive director, becoming CEO in 2004. Ching [...]


Why the Financial Times Deal Commands a Premium

In my opinion, aged financial media assets can be worth more than general news companies. Financial media companies like the Financial Times (FT) market to a more affluent audience that is willing to pay for access, thus subscriber revenue proves to be more sustainable than pure reliance on advertising dollars. Plus, online advertising pays far [...]


Maduell on CNBC: We Estimate Sovereign Wealth Funds Spent $14 Billion in Asset Manager Fees

Sovereign wealth funds utilize external managers for a variety of reasons. 37% of sovereign wealth fund assets are managed externally, according to a recent SWFI estimate. Some US$ 2.755 trillion is being managed by external parties out of a total of US$ 7.367 trillion. 63% of assets are invested directly. Recent direct deals include an [...]