Table of Contents

Issue Date: Monday, February 23, 2015

News

Russell clients stay put despite looming sale

Russell clients stay put despite looming sale

No significant defections at Russell Investments' consulting and money management unit have been reported since parent London Stock Exchange Group PLC first announced it would be buying the firm in June, asset owners and industry insiders say.

State private retirement programs get help from president

State private retirement programs get help from president

Private-sector retirement solutions programs at the state level are getting a boost from the White House.

Corporate pension funds weigh derisking vs. re-risking

Corporate pension funds weigh derisking vs. re-risking

Corporate plan sponsors on both sides of the Atlantic are pushing back against the ramifications of lower interest rates, tipping a balance to re-risking from a derisking glidepath, say money managers, consultants and strategists.

TRS aims to be 'preferred destination'

TRS aims to be 'preferred destination'

Teacher Retirement System of Texas officials plan an all-out campaign to make the $132 billion pension fund more attractive to the world's choicest — and biggest — principal investment opportunities.

Settlements offer lessons in breach suits

Settlements offer lessons in breach suits

As sponsors and service providers continue settling ERISA fiduciary breach lawsuits, the rest of the defined contribution industry is taking careful notes.

T. Rowe pushing against passive headwinds

T. Rowe pushing against passive headwinds

T. Rowe Price Group Inc. has suffered heavy outflows and client terminations during the past two years from asset owners reducing their U.S. equity exposure and/or seeking passive strategies.

Money managers see costs escalating for cyberthreat protections

Money managers see costs escalating for cyberthreat protections

Cybersecurity is a growing cost for institutional money management firms.

China Life hirings seen as launch of global manager opportunities

China Life hirings seen as launch of global manager opportunities

A group of global investment managers has garnered the first flurry of mandates from China's largest life insurer since regulators opened the door for offshore investments more than two years ago.

Company stock option fading from 401(k) plans

Company stock option fading from 401(k) plans

Company stock in defined contribution plans continues to shrink as a percentage of assets, plans offering the option and participants investing in it, recent research and surveys show.

Investors warming up to trading venues being created by manager groups

Investors warming up to trading venues being created by manager groups

The development of buy side-owned equity trading venues has attracted interest from long-term investors.

No whimpers in 2014; final quarter goes out with bang

After a mostly sedate year, risk bubbled to the surface in the final quarter of 2014, according to the Axioma Insight Quarterly Risk Review.

Fortune SG sees institutions as anchor in Chinese market

Fortune SG sees institutions as anchor in Chinese market

Fortune SG Fund Management Co., a Shanghai-based money manager, is moving to boost its institutional business and lessen its dependence on China's volatile local retail market.

Track record vital to get attention from institutions

The era of seemingly constant and endless growth of the $2 trillion exchange-traded product universe in the U.S. might be waning. Market leadership among issuers is consolidating. New products and entrants are leaning heavily on broad distribution and brand awareness.

Russell sale by the numbers

So far, the London Stock Exchange Group appears to be preparing for an auction process, shopping the deal to nearly 100 potential buyers in hopes of gaining the highest offer possible. Sources say that LSE hopes to get $1.2 billion to $1.5 billion for the portions of Russell Investments' business it is selling.

Recent fiduciary breach settlements

nAbbott et al vs. Lockheed Martin Corp. et al. A class-action settlement was announced Feb. 20 in which the company agreed to pay $62 million to participants in two 401(k) plans. The settlement, subject to final approval by a U.S. district court judge in East St. Louis, Ill.

Luminex offers a wake-up call for dark-pool operators

To U.S. dark-pool operators, the development of an exclusive managers-only trading venue, Luminex Trading & Analytics LLC, is a splash of cold water on the face of an industry that some managers believe has taken institutional investors for granted.

Charts: Advice seekers in DC plans

A recent study revealed differences in who seeks advice from plan sponsors in defined contribution plans.

Special Report

Special report: Emerging managers

Asset owners increasingly turn to emerging firms for diversity, chance to tap new talent.

Top-performing money managers: Q4 2014

Long-duration strategies tops fixed income for the year while REITS take spotlight for the quarter in equities.

Online

Frontlines

Editorial

Fee on leverage misguided

Fee on leverage misguided

President Barack Obama's proposed financial fee on leverage that would apply to large investment management firms as well as other large financial institutions won't enhance market stability as it supposedly is designed to do.

Letters to the Editor

People Moves