In 2019, RPM portfolios again delivered mixed results in a difficult market environment with little exploitable time series momentum (TSMOM) outside of fixed income markets. After an initial sell-off, the year was characterized by a major bond rally on the
TAA Model Allocation – as at December 2019 As the calendar year ends, it is customary to look ahead to what the New Year might hold. In this edition of Global Outlook, we summarise the latest thoughts from our quarterly Global investment Group
As financial intermediaries navigate the current industry landscape to seek the best results for clients and help maximize their own performance, Mercer and Morningstar have identified five key areas for firms to consider. 1. Strong Governance Financial intermediaries are moving
Much has changed since we published our 2018 Alternative Income Study. At that time, the global economy was running along nicely, which was expected to bring an end to a decade of monetary easing by central banks; most major equity
What’s in store for managed futures and global macro in 2020 is really a question of how much longer we’re all willing and able to play the ‘waiting game’ with global markets seemingly hell bent on obliterating past records for
The year that has just started will challenge investors’ expectations, just as 2019 eventually contradicted the bearish mood that prevailed one year ago. For the time being, risk appetite remains strong and we believe it is unlikely to be derailed
2019 Global Alternative Fund Survey The alternative asset management industry must pivot strategies to focus on the future and make real-time adjustments that control that path.
Soft manufacturing surveys are bottoming out, pointing to a turn in hard data. Monetary accommodation and less uncertainty on most trade fronts have been key contributors to this inflection, as well as front-loading ahead of the September tariffs. A modest
Managed Futures remains the best performing alternative strategy year-to-date, up 9.2% according to our estimates. But after a massive rally up to end-August, the hangover came with a sharp rise in bond yields in the past couple of months. The
Should alternative portfolios favor smaller, medium, or larger hedge funds? The choice might not be as obvious as before and may be more dependent on the stage of the business cycle. For many years, small hedge funds have steadily outperformed
Quarterly Investment Strategy Fourth Quarter 2019 We continue to recommend being cautious though not necessarily bearish. The global expansion is very mature and at the same time, global growth has slowed significantly compared to last year. Additionally, an elevated number
Investors’ three main arguments for investing with CTAs are: Absolute Returns Since the turn of the millennium, CTAs (Société Générale CTA Index) have performed in line with global equities (MSCI World Total Return Gross) but at a significantly lower volatility. Diversification CTAs’ return stream stems from
House View October 2019 A prominent topic in the last month (aside from the ECB’s aggressive new monetary stimulus) was the sudden cash crunch in the repo market, i.e., the market for very short-term, typically overnight, lending. On Monday, September 16,
In Short While some data misses continue, especially in manufacturing and in Europe, we believe that economic releases are pointing towards a stabilization in growth. Optimism is spreading that the worst may be behind us, thanks to improvements in the
Semi-Annual Futures Rankings What’s the BEST managed futures program? That’s a tricky one. Do you mean: Best last year? Best for all time? Best risk-adjusted return? Best in terms of lowest drawdowns? We can all see which programs logged the
Active strategies’ relative performance in Q3 were slightly weaker than in Q2, though uneven across regions. Uncertainties soared early in Q3 with the breakup of the summer U.S.-China trade truce and bold British PM Johnson’s tactics. Later, signs of a
At Fidelity Multi Asset, we have been investing in alternatives for over a decade, and currently hold a wide range of alternative assets in our multi asset strategies. Our large Manager Research team includes dedicated alternatives analysts, focused on finding
Institutional investors seek to diversify their multi-asset portfolios by acquiring real assets such as farmland, timberland and commercial real estate. Farmland’s strong cash yield is a significant benefit that could provide stability in today’s environment of market volatility. Historical comparative
Op 8 oktober organiseert Alpha Research een Investment Meeting in Rosarium Amsterdam met het thema: Alternatives – Van het gebaande pad: de case voor alternatives in een negatieve renteomgeving. Waarom kunnen alternatives aantrekkelijk zijn in een omgeving van negatieve rentes? Loont het om van
De commissie Risico Management organiseert de bijeenkomst: Alternatieve beleggingen en excellent Risico Management Alternatieve beleggingen zijn in veel gevallen een goede aanvulling op een beleggingsportefeuille bestaande uit beursgenoteerde stukken gezien het verwachte rendement en de mogelijkheid om het aanwezige risico in
Timing CTAs is notoriously challenging. Monitoring their exposures provides a useful picture but has rarely been a reliable allocation method. They enjoyed an impressive rally this year, mainly supported by their long bond positions, which fueled high CTAs returns’ auto-correlations.
Survivorship bias, the predisposition to evaluate a data set by focusing on the “survivors” rather than also examining the record of non-survivors, is important to understand for hedge fund peer groups, which tend to have a relatively large number of
The findings from this year’s survey are based not only on what is current practice between hedge funds and investors, but also potential future developments and how these could be best implemented. Below are the six key takeaways that emerged
Summer is usually a quiet period for markets, but 2019 has been an exception; the federal reserve (fed) cut rates, trade tensions with china escalated, global manufacturing activity continued to deteriorate and the 2-year/10-year u.s. Treasury curve inverted. Against this
Liquid alternatives (typically regulated by the Investment Company Act of 1940) and hedge funds (often lightly regulated legal structures) are public and private vehicles that investors use to access a variety of alternative investment strategies. To compare and contrast them,
World leaders and captains of industry are gathering for the @wef in @Davos.
@hanswstegeman hopes they really hear the alarm bells toll this time and calls on them to start this one very important discussion: isn’t it time to fundamentally change our economic system?
Two good questions:
1- Has #passive #investing helped drive the mega-cap, FAANG-led, #outperformance over the last five years?
2- And has that led to potential advantages from #active #management at this point in time? -> http://bit.ly/2RIZbwn via @FTSERussell
"We more than ever need a targeted investment agenda that stimulates ‘real’ economic growth," @hanswstegeman argues, "instead of the current financial agenda, which above all sustains elevated asset prices."
Discover our Q1 2020 Economic Outlook on our website now.
