Table of Contents

Issue Date: Monday, July 21, 2014

News

Guilty plea opens  new chapter in CalPERS story

Guilty plea opens new chapter in CalPERS story

Former CalPERS CEO Federico R. Buenrostro's guilty plea earlier this month revealed new details and disclosures in the corruption scandal that engulfed the nation's largest defined benefit plan.

UPS is looking for smart beta to deliver

UPS is looking for smart beta to deliver

The $28 billion United Parcel Service Inc. defined benefit plan has taken smart beta to a new level, allocating 40% of the equity portfolio to the alternatives to market-capitalization indexes.

Co-investing entering new arena: Hedge funds

Co-investing entering new arena: Hedge funds

Institutional investors increasingly are translating co-investment experience in private equity, real estate, infrastructure and energy funds to their hedge fund portfolios.

Slow process seen in naming Gotbaum successor at PBGC

Slow process seen in naming Gotbaum successor at PBGC

Joshua Gotbaum's resignation as director of the Pension Benefit Guaranty Corp. is expected to create a leadership vacuum at a critical time for an agency dealing with struggling multiemployer pension plans and corporate defined benefit sponsors stressed about premium increases.

Private equity managers hope to benefit from trends in Asia

Private equity managers hope to benefit from trends in Asia

A growing number of business founders in Asia who traditionally restricted private equity firms to minority partner status have begun, selectively, to let them take controlling stakes in their companies.

Public pension plans take shareholder litigation international

Public pension plans take shareholder litigation international

It was only a matter of time before the litigation portfolios of U.S. public pension funds started catching up with their investment portfolios and spending more time overseas.

Emerging markets debt is attracting investors again

Emerging markets debt is attracting investors again

Emerging markets debt, pummeled during last year's “taper tantrum,” is now tempting institutional investors back into the fold.

Execs struggle with auto-escalation issue

Execs struggle with auto-escalation issue

Defined contribution plan executives are wrestling with ways to improve participants' savings through automatic escalation.

ESG factors gaining global exposure

ESG factors gaining global exposure

Institutional investors across the globe are becoming more aware of the environmental, social and governance effects both of, and on, their investment choices.

Hong Kong fund is taking target-date approach to default option

Hong Kong fund is taking target-date approach to default option

Hong Kong's Mandatory Provident Fund Scheme Authority is looking to push the envelope — gently — in devising the HK$519 billion (US$67 billion) defined contribution system's first standardized default investment option.

Public pension plans reap benefits from Citigroup settlement

State pension funds in California and Illinois are among the recipients of Citigroup Inc.'s $7 billion in fines and consumer relief to resolve government claims that it misled investors about the quality of mortgage-backed bonds sold before the financial crisis.

A few changes to P&I's Eddy Awards

A few changes to P&I's Eddy Awards

New rules, a revised menu of entry categories and a new venue mark the launch of the 2015 Eddy Awards.

GPIF details active equity tally in year of big changes

Japan's 126.6 trillion ($1.25 trillion) Government Pension Investment Fund, Tokyo, in an annual report released July 4, provided a snapshot of leading asset gatherers in a year of extensive changes to the pension giant's external manager lineup.

Texas pension fund executive discusses ins and outs of ETFs

Texas pension fund executive discusses ins and outs of ETFs

Not long after Leighton Shantz joined the $26 billion Employees Retirement System of Texas, Austin, as director of fixed income in April 2012, his review of the nearly $6 billion bond portfolio called for a shift in strategy. Moving to a bifurcated mandate of “rates” and “credit,” however, would take some massaging of the existing core-plus fixed-income portfolio.

ESG leaders

Policies vary when it comes to ESG, but some institutions are leading the way.

Special Report

Report on subadvisory

Push for 'outcome-oriented' solutions has firms looking harder to fill strategy gaps.

Online

Frontlines

Editorial

Beefing up fiduciary oversight

Beefing up fiduciary oversight

Institutional asset owners must make more of an effort to peel back the layers of complexity to deal with the fiduciary issues surrounding non-traded investments, including private equity and real estate.

Industry Voices

Emerging market portfolio globalization: The next big thing

Emerging market financial assets have been remarkably resilient; the question is why? The answer lies in the greatly underappreciated fact of emerging markets' domestic financial asset expansion.

Navigating the fixed-income market: The calm before the storm

Navigating the fixed-income market: The calm before the storm

There are no safe harbors at present in fixed-income investing.

People Moves