In this edition of Real Asset Dynamics, we analyze the returns of Cambridge Associates’ indexes of private real estate funds over various time horizons and offer our views on what investors can expect in private real estate going forward. Global private equity real estate continues to generate decent returns, earning 1.5% in second quarter 2016…
The surest call to make for 2017 is that higher growth expectations will be paired with the distinct possibility of negative outcomes, putting a premium on diversification and liquidity management.
Change is in the air and the prospect for a bit of sunshine to break through the overhang of slow growth and lower-for-longer yields is palpable. Of course, the sun doesn’t shine forever, and overall our views are little changed. The things we have been worried about for some time—high valuations for certain risk assets, record-low interest rates, slow economic growth—have not gone away. The surest call to make for 2017 is that higher growth expectations will be paired with the distinct possibility of negative outcomes, putting a premium on diversification and liquidity management.
Please see Sean McLaughlin, “Long Muni Bonds: Unloved, Orphaned, and Perhaps Safer Than You Think,” Cambridge Associates US Market Commentary, March 2011. Some muni bondholders in 2011 were terrified by a sky-is-falling prediction when Meredith Whitney, who made her name with a prescient call on bank shares during the lead up to the financial crisis,…
No. You just need to know where to look. The informed alternative investor is focused on identifying managers with the potential to outperform. Where to find these managers? The lower end of the private equity arena.
Investor approaches to mission-related investing (MRI) are as varied as the social and environmental outcomes they seek to achieve. This survey report explores trends in the structure and implementation of MRI programs, investor motivations and perceived challenges, and expectations for future growth in MRI investment activity, based on responses from 159 non-profit clients, 50 of which are actively making mission-related investments.
For now, bond yields and interest rates have probably hit their lows for this cycle, assuming fiscal stimulus across the developed world becomes a reality in 2017.
In light of markets’ initial reaction to the victory of Donald Trump in the US presidential election, we wanted to remind clients of our approach to portfolio management by providing thoughts from our Chief Investment Strategist, Celia Dallas.
Institutions understandably have an interest in the investment results of peers, but a hyper-focus on peer comparisons can be distracting, if not destructive, to effective governance. In this report, we review what can be learned from peer data, where the pitfalls lie, and some examples of how to approach analyzing peer data.
Yes, but positioning for such risks is challenging as timing and specific circumstances are uncertain. Investors should rely on their usual lines of defense: portfolio diversification and liquidity provisioning.