Sun, Sep 25, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Foundations and Endowments move into global equity and long duration fixed income

Friday, May 23, 2014

Bailey McCann, Opalesque New York:

Foundations and Endowments are rotating into global equity and longer duration fixed income in response to current market conditions and the expectation that the low yield environment will persist, according to the latest data from eVestment. Investor Trends Report: Foundations & Endowments, looks at allocation decisions and market exposures among foundations and endowments (F&E) around the world. The report looks at the allocation decisions over the twelve-month span ending Q1 2014.

Data shows that within US markets, F&E largest allocations are to Large Cap Value, Core Fixed Income, Large Cap Growth, Interim Duration FI and Core Plus FI. Outside the US, F&E have allocated heavily to Emerging Markets and Global All Cap Equity universes.

From a regional perspective, eVestment sees a slightly reduced exposure to North America, no meaningful change to Europe, but a noticeable increase to emerging markets beginning in 2013. Additionally, while sovereign exposure has remained relatively stable, there is a noticeable shift away from US sovereign debt to non-US developed market sovereigns.

To mitigate the risks of a US equity market decline, large allocations have gone to international markets, but are doing so through passive strategies. Additionally, recent large inflows into long/short and event-driven hedge funds likely include allocations from F&E. This would further reduce their directional risks and create more flexible regi......................

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. Star names struggle as smaller hedge funds make hay[more]

    From eFinancialnews.com: Many big-name funds have been hit by sharp reversals in markets, including US government bonds and UK stocks, and have struggled to extricate themselves from positions that have gone bad. According to data group eVestment, hedge funds below $250 million in size are up 4.1% t

  2. North America - Acela fight splits hedge fund Connecticut and old money enclaves[more]

    From Bloomberg.com: Connecticut’s residential coastline is two worlds, the one of newcomer millionaires and one whose wealth and New England roots span generations. Now, their differences over a rail route threaten to gum up plans for the U.S. Northeast’s fastest-ever trains. About 30 miles from Man

  3. Activist News - Caesars offers creditors another $1.6bn, would spell end of hedge fund ownership, Activist investors double chance of CEO exits[more]

    Caesars offers creditors another $1.6bn, would spell end of hedge fund ownership From Calvinayre.com: Casino operator Caesars Entertainment has improved its offer to junior creditors to over $5b, but the offer is only good until Friday. On Wednesday, Caesars added an extra $1.6b to the $

  4. Comment - ‘Gut feeling’ measurable in hedge fund traders, How hedge fund managers can use blockchain to maximize benefits[more]

    ‘Gut feeling’ measurable in hedge fund traders From Laboratoryequipment.com: “Gut feeling” is an intangible – an automatic hunch – based on prior experience for some people. But the “gut feeling” is actually a measurable response developed in professionals doing some high-risk work, acco

  5. Opalesque Exclusive: Modern investor tools (2): A platform that does the job for you[more]

    Benedicte Gravrand, Opalesque Geneva: A new series on technology providers that assist asset allocators. There is disruption in the investor part of the world of hedge funds, coming from platforms that can replace traditionally-run search and analysis. Here is one of them. L