Colorado’s FPPA Reaps Rewards of Long Investment Governance Revamp

Staff members of the approximately $4.5 billion Fire & Police Pension Association of Colorado (FPPA) are feeling pretty good about themselves currently. Why? In 2009, an informal level of questioning, second-guessing and  hypothesizing among board and staff members regarding the fund’s longstanding, heavily-consultant-driven asset manager hiring process coalesced into formal action to change that process …

MOSERS Board Taps New Chairwoman; ED Expected in June

The Missouri State Employees’ Retirement System (MOSERS) has appointed Crystal Wessing as Chairwoman of the Board of Trustees of the $8.5 billion Jefferson City-based retirement fund, according to a released statement from MOSERS. Separately, the system is also now in the final phase of a recruitment effort for a new executive director, which it expects …

E&Fs Eye Volatility as US/Sino Trade War Threat Looms

Endowments and foundations are addressing concerns about how a looming trade war between China and the U.S. could affect their investment strategies. Volatility in the markets, created by the tit-for-tat tariff pronouncements, coming from both President Donald Trump and Chinese president Xi Jinping, has many investors on edge, with no clear end to the disputes in sight. …

More Power to the CEO!

Governance Guru Applauds CalPERS’ Move The decision last week by the board of the $350 billion California Public State Retirement System (CalPERS) to change its governance policy to make the CEO solely responsible for hiring, evaluating and, if necessary, terminating the chief investment officer, sits very well with Rick Funston, managing partner at Funston Advisory …

K2 Advisors Targets Climate Change With New Hedge Fund Platform

Stamford, CT-based K2 Advisors, a hedge fund investment advisor, with $11.2 billion in assets under management, is developing a new ESG-focused hedge fund investment platform. As part of the platform’s mandate, the fund managers will integrate proprietary ESG data and analysis from research provider KPX Global into their investment strategies. The data provided by KPX …

Investors Avoid Options Due to Outdated Mandates, Fear of Market Timing and Perceived Risk

Just 16% of the pension plans and endowments that were interviewed for a recent Greenwich Associates’ survey, How Institutional Investors Use and Think About Exchange-Listed Options, are considering investing in exchange-listed options or increasing their allocation to them, compared with 48% of money managers. “It appears that the use of listed options has come in …

U.S. Investor Delegation Kicks Tires of Africa Infrastructure Opportunities  

Though most of the U.S. institutional investors that were part of a delegation that travelled to Senegal and South Africa in early March invest in emerging or frontier markets (EFM), less than half of the funds invest in Africa, and fewer than one fifth invest in infrastructure there, with their EFM holdings primarily in private …

Is Risk Parity Ready For Rocky, Roiled Market?

Risk-parity investing, which ballooned in popularity in the aftermath of the financial crisis, may be entering the latest test of its efficacy.  According to some investment market practitioners, peculiar market dynamics have raised questions about the performance potential of the strategy, for this year at least. “Risk parity has enjoyed an unusually good environment for …

Political Patter and Investment Srvcs: Benign Banter or Briar Patch!?

Some argue that the political landscape in the U.S.—if not the world—has never been more polarized than since the election of Donald Trump as U.S. President. And according to some senior institutional investment consultants contacted last week, sensitivities and strong feelings one way or the other regarding the Trump administration and its policy agenda are …