Mon, Feb 20, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

State Street reports an increased appetite for alternatives from institutions

Monday, December 31, 2012

Beverly Chandler, Opalesque London: A new report from State Street, The Asset Owner’s Perspective: Evolving Investment and Operational Models, finds that 45% of asset owners have found that low yields on traditional assets have increased their organisation’s appetite for alternatives, particularly among institutions at the smaller end of the market.

However, examination of the endowment model post the financial crisis, revealed that the users of the endowment system were disappointed at the high level of correlation between alternative assets and equity markets during the crisis. Despite that, the endowment model remains popular with 84% considering the model a highly effective framework for today’s markets.

Leverage and liquidity issues also challenged some asset owners, who are addressing the liquidity crunch by undertaking more vigorous stress testing and revisions of liquidity-related investment policies.

Some 39% of those asset owners surveyed expect to increase allocations to corporate investment-grade debt, while 30% anticipate expanding allocations to emerging market debt investments in the coming year.

The study found that asset owners have developed a new 'mindset’ post the financial crisis, looking at portfolios in their totality, moving away from tradi......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. With $54bn in assets, Philippines is ready for hedge funds, alternative investment products[more]

    Komfie Manalo, Opalesque Asia: With the country's outstanding fund management industry at $54bn and growing, the Philippine market and its investors are ready to invest in "more sophisticated" asset management products, like hedge funds and alternative investments, said Deanno J. Basas, presi

  2. SoftBank to buy Fortress Investment for $3.3bn[more]

    From Reuters.com: Japan's SoftBank Group Corp on Wednesday said it has agreed to buy Fortress Investment Group LLC for about $3.3 billion, looking to add investment expertise as it prepares to launch the world's largest private equity fund. The all-cash deal is SoftBank's first major investmen

  3. ...And Finally - Truth in advertising[more]

    From Newsoftheweird.com: Girl Scout Charlotte McCourt, 11, of South Orange, New Jersey, saw her sales zoom recently when she posted "brutally honest" reviews of the Scouts' cookies she was selling -- giving none of them a "10" and labeling some with dour descriptions. She was hoping to sell

  4. Europe - Brexit - Updated legal guide, Euro exchange rates set to tumble as hedge fund's super computer predicts Marine Le Pen will be next French president, Swiss fund market hits all-time high[more]

    Brexit - Updated legal guide From Herbertsmithfreehills.com: When we began analysing in depth the possibility of Britain exiting the EU (Brexit), 18 months prior to the June 2016 referendum, the business consensus was very much that Brexit was a remote prospect that either would never hap

  5. People - Gramercy appoints Bradshaw McKee as managing director of Capital Solutions, Trump taps Cerberus's Feinberg to lead intelligence review[more]

    Gramercy appoints Bradshaw McKee as managing director of Capital Solutions Gramercy Funds Management LLC, a $5.8 billion dedicated emerging markets investment manager, today announced the appointment of Bradshaw McKee to the position of Managing Director, Capital Solutions and Distressed