Research

Distressed Debt: A New Way to Categorize Managers

As the economic cycle progresses, the next recession draws inexorably closer, bringing with it the next downturn in the credit cycle. Recognizing this, institutional investors are increasingly considering allocations to distressed debt managers. While lumping all distressed managers into one group is tempting, different managers have meaningfully different approaches that are not captured by considerations […]

CA Answers: Is the Environment for Active Management Improving?

Answers to our clients’ questions about market action and the market environment in a few paragraphs every two weeks. We are asked this question on a regular basis, but believe it is fundamentally the wrong question for investors to ask if they are seeking to outperform the market over the long term. Regularly, financial news […]

VantagePoint: First Quarter 2018

The start of the year is a good time for planning and reviewing your investment strategy. In this edition of VantagePoint, we facilitate that effort by setting the record straight on some commonly held investment myths.

CA Answers: What Should Individual Investors Do Now That the US Tax Bill Has Passed?

Answers to our clients’ questions about market action and the market environment in a few paragraphs every two weeks. The new US tax bill creates little pressure for immediate action by individual investors, even though we expect the legislation to be quite impactful. Some investors should consider taking action before the end of 2017 if […]

Outlook 2018: Stick Around for Dessert

In our 2018 outlook, we review the prospects for several asset classes—developed and emerging markets equities, credit, real assets, sovereign bonds, and currencies—and share the advice of our chief investment strategist.

Proposed Tax on Endowment Income Would Mean Difficult Choices for Many Schools

College and university leaders are paying close attention to the tax plans moving through the Senate and House.  As currently written, both proposals would levy a 1.4% tax on net investment income earned during the tax year for private colleges and universities. The House version proposed the tax be applied to schools with assets of at […]

CA Answers: Should Institutional Investors Hold Cryptocurrencies?

Answers to our clients’ questions about market action and the market environment in a few paragraphs every two weeks. In our opinion, institutional investors are better served focusing on investing in companies seeking to profit from the development and adoption of blockchain technology and “fintech” (financial technology) more broadly than holding cryptocurrencies directly. The stunning […]

A Balancing Act: Strategies for Financial Executives in Managing Pension Risk

As pressures on pensions mount, we believe financial executives are best served by re-evaluating major decisions in terms of the true tools at their disposal. In this paper we review four levers that are fundamental drivers of pension costs and outcomes: asset returns, liability hedging, contribution policy, and benefit management. Balancing these levers is critical to enabling greater probability of success in managing pension risk, and we introduce a framework for chief financial officers and other financial executives to use in doing so.