This paper considers the role an enhanced allocation to real assets can play in portfolios during various stages of the pension life cycle.
Are your private credit allocations positioned for uncertainty?
In recent years, defined contribution (DC) plans have often found it difficult to focus on investment as they have grappled with a series of legislative and regulatory changes.
Our summer 2019 edition looks at UK pension buy and maintain strategies, the globalisation of real estate holdings and the importance of timing when investing in a volatile, late cycle environment.
Markets, economy, stocks, growth, global, fixed income, international, asset classes
UK pension funds are moving to globalise their real estate holdings, taking advantage of increased diversification benefits and greater scale of investment opportunities.
UK pension plans concerned about how to invest in a volatile, late cycle environment may want to consider two practices: continue effective rebalancing and don���t postpone further duration hedging in anticipation of rising rates.
We examine how negative cash flow impacts funding, risk and return for pension plans and provide insight on how plans are likely to adapt their investment strategies in response, taking into account current capital market conditions and our 2018
An alternative risk premia strategy is itself more diversified than a diversified growth fund or an all-equity portfolio.
We further discuss how institutional investors can protect their portfolios from late cycle headwinds and rising volatility so that they can be positioned for long-term success.