Conservation of risk as a concept
Adoption of a conservation of risk framework greatly increases investor/manager awareness of the trade-offs in risk and uncertainty that are at the heart of investing
Actually, the efficient market hypothesis suggests a kind of risk conservation law; except that it assumes (mistakenly) that the "market" is a closed system. In fact, information and risk flow into and out of the market all the time.
These are what we now call "alternative risk premia".
Insights on what makes the valuation of life settlements complex
For a single policy, longevity reduces the return significantly.
"... universal life policies do not accumulate capital, which means that no investments or savings are made by the insurance company for the insured and therefore such policies do not correlate with financial markets. The only risk is mortality."
Where within an institutional portfolio does an allocation to infrastructure fit in?
For most institutional investors, infrastructure investing remains in a state of flux as it shifts from being a niche sector to become a full-blown, independent asset class
Among alternative assets, the risk/return profile of infrastructure investments falls between core real estate, fixed income, and private equity investments, and is not directly correlated with any of them
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