Research Publications Archive

June 18, 2021

Foundation Annual Flash Statistics Report: Calendar Year 2020

The Foundation Annual Flash Statistics Report provides a first look at the results of our 2020 Foundation Annual Investment Pool Returns survey. Included in the analysis are a summary of investment pool returns, asset allocation, and returns after spending for 112 foundations. Additionally, the report provides detailed data by institution on asset allocation. Look for our full annual analysis in the upcoming Foundation Annual Investment Pool Returns report.

June 1, 2021

Do Prospects Remain Bright for Investors in Japanese Small-Cap Stocks?

Asia/Pacific, Equities

Yes. We believe the underperformance of Japanese small-cap stocks in recent years will reverse, boosted by attractive relative valuations, stronger balance sheets, and growing pressure from shareholders and regulators.

May 21, 2021

Implementing Sustainable and Impact Investing in Investment Portfolios

Sustainable & Impact Investing | Download

Implementing sustainability and impact investing (SII) themes in investment portfolios can seem complex, leaving many investors new to SII wondering how to begin. This paper provides insight into building resilient portfolios that will contribute to and thrive in a more sustainable and equitable future.

May 21, 2021

Portfolio Protection: Challenges with Equity Put Options

Equities, Investment Planning | Download

We advise extreme caution in using derivatives to protect portfolios from sharp equity drawdowns. We recommend that investors look to asset allocation to defend against equity risk before buying puts. For those investors who must pursue a tail-risk hedge, we provide a list of potential pitfalls and solutions, in the form of a case study.

May 19, 2021

Should Clients Consider Diversity When Making Investment Decisions?

Sustainable & Impact Investing

Yes, investors should consider diversity in the investment decision-making process, as we expect a diversity of thought and talent will lead to better investment outcomes than a process that ignores this important issue.

May 14, 2021

The American Rescue Plan Act Brings Relief and Highlights Challenges for US Pension Plan Sponsors

Governance and Management | Pension Series | Download

The American Rescue Plan Act (ARPA) was signed into law on March 11, 2021, and included a variety of plan sponsor–friendly changes to single-employer and multiemployer pension plans, but no real help for public sector plans. ARPA may change the future landscape of US pension plans, which may prompt plan sponsors to modify their investment strategies to achieve plan objectives. Its impact will vary greatly, both by plan type and individual plan circumstances.

May 12, 2021

US Inflation Spikes, as Expected

Credit/Fixed Income, Market Implications of COVID-19

Today, the US Bureau of Labor Statistics released its monthly inflation report for April, which highlighted that prices paid by urban consumers for a basket of goods and services increased by 4.2% relative to the same month last year.

May 4, 2021

Will the Global Equity Rotation from Growth Stocks to Cyclicals Persist?

Equities

Yes, we expect it will. We anticipate global inflation expectations will remain stable or increase modestly amid rising economic growth, which would allow the equity market rotation into cyclicals to continue.

May 4, 2021

Investing in 21st Century Infrastructure: Benefiting from the Digital Revolution

Market Implications of COVID-19, Real Assets | Download

21st Century infrastructure: The importance of digitisation has grown during the pandemic, as people have relied more on digital platforms, video streaming, and cloud storage. Investment across the digital infrastructure value chain continues to rise in response, and should increasingly be a priority for real asset investors.

May 3, 2021

Rising Rates and the Implications for Fixed Income

Credit/Fixed Income | Download

In this paper, we analyze the drivers behind the recent rise in yields and compare the current bond sell-off to major bond sell-offs of the past to assess whether the rise in yields can continue and the implications for fixed income.