We take a fresh look at factor-based investing, examining how investors can enhance portfolio construction through a more efficient and intentional approach to sourcing potential excess returns.
Given the challenging return environment so far this year, and the outlook for more muted returns than we've seen recently, it is imperative that portfolios are constructed efficiently. That means sourcing factor returns (which our research identifies as the main driver of excess returns) more effectively. It also means consolidating exposure to only the highest conviction opportunities.
In this webinar we will explore:
- The persistence of factor returns
- Analysis and deconstruction of factor exposures in live portfolios
- Ways to construct or pivot your portfolio for better outcomes
RecordedNov 8 201669 mins
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Che Charteris, CEO, Craigmore | Nick Tapp, Head of Investor Relations, Craigmore | Brendan Maton, IPE
▪ In this webcast Craigmore farming and forestry experts, Che Charteris and Nick Tapp will discuss the economic and environmental benefits of forestry - with New Zealand as a case study.
▪ New Zealand forestry derives revenue from the sale of timber and from carbon credits (NZUs) allocated in recognition of the carbon removed from the atmosphere by a forest as it grows.
▪ New Zealand enjoys a significant competitive advantage in forestry. Growth rates are extremely fast with a 27-year rotation. Faster growth both removes carbon from the atmosphere and delivers mature stands of timber more quickly.
▪ Che Charteris, Craigmore’s CEO, explains that “where cash flows from new forests were previously only received at harvest at around the 27-year mark, the sale of carbon credits allows the Partnership to make distributions to our investors at a much earlier stage. This significant recognition of the importance of forestry as part of addressing climate change has changed the economics of the sector”.
Dr. Ralf Seiz - CEO of Finreon AG, Supervisory Board & Lecturer University of St. Gallen (HSG) | Brendan Maton, IPE
– With Finreon ZeroCarbon® –
The mitigation of climate change and the transition to a CO2-neutral economy is one of the biggest challenges institutional investors face in the coming years, as both the requirement to disclose the carbon footprint and the emergence of new benchmarks (e.g. CTB/PAB) reflect the political and regulatory will to systematically decarbonize investment portfolios.
In this webinar, Dr. Ralf Seiz, founder of Finreon and lecturer at the University of St. Gallen, will present the Finreon ZeroCarbon® methodology to decarbonize efficiently portfolios:
- CO2-neutralisation: The Finreon ZeroCarbon® innovation makes it possible not only to reduce the CO2-emissions of portfolios but to neutralize them completely
- Low risks and costs: Decarbonisation with Finreon ZeroCarbon® allows for a high level of portfolio decarbonization with minimal tracking error impact and costs
- Flexible use: As a “carbon hedge”, Finreon ZeroCarbon® is a highly flexible option to decarbonize any given portfolio structure (active, passive; equity, balanced etc.)
Join us in discussing the following topics:
- Why decarbonize portfolios?
- What options exist to efficiently decarbonize portfolios?
- What is the price of decarbonization?
- What is a carbon hedge?
- How can a carbon hedge be used to efficiently decarbonize portfolios?
- Is it possible to fully decarbonize portfolios today?
Alistair Calvert - CEO and founder, Clarion Partners Europe | Tim Wang - MD, Head of Investment Research, Clarion Partners
The logistics sector has been red-hot, driven by robust occupier demand and strong investor interest. The shift to e-commerce accelerated dramatically during the COVID-19 pandemic as people stayed home and ordered more goods online. Now with the global vaccination rollout, the end of the pandemic is finally in sight. Post-COVID, will people still buy more items online? Will logistics tenants keep taking up more distribution space?
Alistair Calvert, CEO of Clarion Partners Europe, and Tim Wang, Ph.D., Head of Investment Research Clarion Partners, will discuss how Europe is uniquely positioned to benefit from the ongoing supply chain transformation and why logistics will continue to be an attractive property sector to invest in after the pandemic.
Highlights will include:
• Secular e-commerce disruption theme
• Building of “last-mile” logistics infrastructure
• Current leasing and pricing trends
• Tenant preferences for asset quality and location
• Investment opportunities across the Pan-European region
Alistair Calvert - CEO and founder, Clarion Partners Europe
Tim Wang - Managing Director, Head of Investment Research, Clarion Partners
Lauren Hochfelder, Brian Niles, Toru Bando & Tony Charles, MSREI | Brendan Maton, IPE
– Around the world in search of the best risk-adjusted returns in commercial real estate –
The global economy is in the early stages of a sharp recovery. Inflation is a new hot topic and interest rates are on the rise. How will these macroeconomic trends impact real estate fundamentals and pricing across different regions? That’s just the cyclical side. Work-from-home, suburbanization, eCommerce, zoom, shifting shopping behaviors. How permanent are these secular shifts that we have witnessed over the past 12-18 months and what will be the impacts on each real estate sector and region?
The combination of a strong economic recovery, some potential re-pricing in some sectors and markets, and shifting demand patterns resulting from structural changes emanating out of COVID should provide a really interesting set of core and value-add real estate investment opportunities.
– Lauren Hochfelder, Deputy Chief Investment Officer of Morgan Stanley Real Estate Investing (MSREI) and Head of MSREI Americas
– Toru Bando, Co-Head of North Haven Real Estate Funds (NHREF) and Head of MSREI Asia
– Brian Niles, Co-Head of NHREF and Head of MSREI Europe
Moderator: Tony Charles, Head of Global Research and Strategy of MSREI
– Exposure that reflects the future, not the past –
The US has dominated many global funds and indices for close to a decade, and yet the opportunity set for a global investor has evolved considerably - most obviously in Asia. Have global funds kept up?
With on-the ground research teams and three decades of experience in global stock picking, Comgest’s global strategy is navigating 2021 and beyond with over 40% exposure to Emerging Markets and Japan, as a result of the team’s bottom-up selection process. How can sustainable quality growth investors benefit from these regions whilst maintaining strong ESG credentials? Why have investors long underestimated Japan? Portfolio Manager Laure Négiar will discuss these themes in light of Comgest’s strategy, a portfolio positioned for the future, not the past.
Sara Rosner, AllianceBernstein | Jeff Schlegelmilch, Columbia University | Brendan Maton, IPE
COVID-19 has dealt a harsh blow to humanity and the global economy in a very short time, creating widespread uncertainty and massive disruptions to normal ways of life. Climate change may be taking place on a longer time frame, but there are clear connections to the pandemic. This webinar looks at applying lessons learned from the COVID-19 pandemic to the study of and response to climate change.
Sara Rosner, Director of Environmental Research and Engagement—Responsible Investment at AB, and Jeff Schlegelmilch, Director of the National Center for Disaster Preparedness at Columbia’s The Earth Institute will take a closer look at:
· How changes in human behaviour brought about by environmental and health stress can contribute to the public’s capacity to address severe global crises
· Challenges in scenario modelling, analysis and data availability from the epidemiological and climate perspectives
· The various paths to building back from the pandemic in terms of speed, approach and competing interests
· Integration of the private sector into disaster response going forward
· Sara Rosner, Director, Environmental Research and Engagement—Responsible Investment, AllianceBernstein
· Jeff Schlegelmilch, Director of the National Center for Disaster Preparedness, The Earth Institute, Columbia University
Matthew Corbett, Partner, Agriculture at Fiera Comox | Brendan Maton, IPE
Matthew Corbett, Partner at Fiera Comox will share a more than a decade worth of insights to:
describe the unique nature of Agricultural investing
outline how you can access the asset class
demonstrate the opportunities to enhance the return profile of your private markets allocation
On the face of it, Agricultural investing presents a highly attractive return and risk profile. A growing world population means that food production and demand can only increase whilst Investors in agriculture projects can benefit from inflation protection and returns that are non-correlated with other asset classes, as well as attractive and stable.
However, specialist knowledge, diversification, managing an evolving E.S.G landscape and accessibility are all critical in reaping the rewards of these investments. We estimate institutional ownership of agricultural assets no higher than 3 percent globally so there remains a steep learning curve for many investors but on the flip side, there are significant inefficiencies remaining in the market.
Matt started his Agri Investing career at Canada’s Public Sector Pension Investment Board (PSP Investments) before becoming a founding partner of Fiera’s Agricultural franchise and has invested around 2.5 billion in private market farmland and timberland over the course of the last decade. Matt currently serves on the board of several of Fiera Comox’ investee companies including Auvil Fruit Company.
Isabelle Scemama, Philippe de Martel, John O’Driscoll, Justin Travlos and Frederick Widl, AXA IM | Brendan Maton, IPE
ESG has rapidly increased in importance in the real estate industry and investment managers have a critical role to play. The disruption brought forward by the pandemic has accelerated the need to bring social and environmental priorities to the fore.
AXA IM Alts are committed to integrating ESG factors into everything we do, whether deciding where to invest or creating the built environment of the future. By meeting the challenges of today and tomorrow, we believe we will create long-term value for all our stakeholders.
In this webcast, our team will address ESG beyond the ‘E’: when technology, social impact and governance comes into play.
- A closer look at how we embed ESG in our practices and future developments, including the key role technology plays in this
- Solving social issues: the case for long-term institutional investment into residential. A case study on France
- The ever important need to align interests, especially given the current environment
We welcome your active participation and you can submit questions for the presenters to address throughout the session.
– Isabelle Scemama, Global Head of AXA IM Alts and CEO of AXA IM - Real Assets
– Philippe de Martel, Head of Fund Management – AXA Mandates
– John O’Driscoll, European Head of Transactions
– Justin Travlos, Global Head of Responsible Investment
– Frederick Widl, Country Head Switzerland, Real Assets
Net-Zero alignment and fossil-free investments: what is the role and impact of fossil fuels divestment for reaching Net-Zero goals?
The webinar will cover:
· How crucial is phasing out fossil fuels in 1.5°C scenarios?
· What level of differentiation between different fossil fuels is justified?
· What are the theoretical and empirical arguments for the fossil-free investment movement?
· Is it naïve to take the forward-looking commitments of fossil fuels companies into account?
· What is the most effective way for investors to influence companies?
· What are the risks of broad-stroke fossil fuel divestment strategies?
Michael Hunstad, head of quantitative strategies | Diana Olteanu-Veerman, CFA, quantitative equity senior strategist EMEA
Whether you were brave enough to hold or are now looking to build exposure to the value factor, we believe investors should take specific approaches to ensure their value portfolio delivers on expected financial and ESG outcomes.
Join our experts as they reveal a more thoughtful approach to portfolio construction that leverages both targeted factor exposures and ESG research. Key topics include:
• Combining value with factors like quality and momentum can result in higher returns and lower risk
• Naïve integration of ESG factors such as climate risk can negatively impact your factor exposure
• Remaining country and/or sector neutral reduces active risk and limits underperformance versus the benchmark
This material is directed to professional and eligible counterparties only and should not be relied upon by retail investors. The information is not intended for distribution or use by any person in any jurisdiction where such distribution would be contrary to local law or regulation. Northern Trust and its affiliates may have positions in and may effect transactions in the markets, contracts and related investments different than described in this information.
Investing involves risk- no investment strategy or risk management technique can guarantee returns or eliminate risk in any market environment.
Northern Trust Asset Management is composed of Northern Trust Investments, Inc. Northern Trust Global Investments Limited, Northern Trust Fund Managers (Ireland) Limited, Northern Trust Global Investments Japan, K.K, NT Global Advisors, Inc., 50 South Capital Advisors, LLC, Belvedere Advisors LLC and investment personnel of The Northern Trust Company of Hong Kong Limited and The Northern Trust Company.
Now more than ever, investors are turning to ETFs and index funds to build more sustainable portfolios. In this webinar, experts at MSCI & iShares explain why sustainable portfolios start with indexing and how indexing is helping make sustainable investing mainstream. They will also discuss the state of the sustainable investing market today, key trends to look for in the future and the different ways to build sustainable portfolios that target a variety of investment goals.
IAN MORTIMER, Portfolio Manager, Guinness Asset Management on Why Quality Matters:
The approach: to invest in good quality businesses with persistently high returns on capital and strong balance sheets, that are highly cash generative, and that are trading at attractive valuations. Such businesses are best placed to pay a sustainable and growing dividend in the future.
A balanced approach – seeking a return from a combination of cash flow growth, multiple expansion, and dividends – alongside a focus on quality characteristics puts the investor in a good position whatever the future market direction in 2021 and beyond.
JOHN TOBIN, Portfolio Manager, Epoch Investment Partners explains why Capital Allocation is Key.
A company should reinvest capital if the expected return on invested capital is greater than the company’s cost of capital. Remaining free cash flow should be returned to shareholders via shareholder yield.
Capital allocation matters, because decisions on how to allocate cash flows – whether to reinvest in order to grow a company, or to return capital to shareholders – can create or destroy long-term shareholder value.
Recent years witnessed a significant increase in interest from investors in factor and multi-factor investing. 2020, however, turned out to be an unpleasant year for many investors in factor-based strategies. This includes the widely cited value factor drawdowns, but also multi-factor strategies themselves, particularly those that are put forward to investors as providing a diversified exposure to risk factors, which many did not. In this webcast we shed light on why factor investing in its common form and in particular multi-factor portfolios may not deliver investors the balanced risk exposures and diversification effects, that they typically hope to achieve or are promised to obtain by spreading their investments across multiple factors. We explore common implementations of multi-factor strategies revealing that many suffer from unwanted biases, then highlight the unintended consequences of these hidden biases.
Daniel McHugh, Chris Urwin and Laurence Monnier - Aviva Investors | Brendan Maton, IPE
– The intelligence that guides our investment decisions –
COVID-19, an unprecedented rate environment, and new zero-emissions targets are producing wildly divergent expectations across the real asset investment community.
Join Aviva Investors’ new chief investment officer for real assets, Daniel McHugh along with Chris Urwin, director of research, and Laurence Monnier, head of quantitative research, as they discuss the key themes identified by our Real Assets House View 2021 (https://www.avivainvestors.com/en-gb/views/real-assets-house-view/), that will shape real assets markets in the coming months:
• What will the impact of the zero rate environment in the UK & Europe be?
• Will new ways of living persist post-COVID-19, and how might they change the investment landscape?
• Which parts of the real assets universe look most promising for investors to target today?
• Daniel McHugh - Chief Investment Officer, Real Assets, Aviva Investors
• Chris Urwin - Director of Research, Real Assets, Aviva Investors
• Laurence Monnier – Head of Quantitative Research, Real Assets, Aviva Investors
Abigail Dean, Global Head of Strategic Insights, Nuveen Real Estate | Erik Landry, Climate Change Specialist, GRESB
Real estate is one of the world’s largest producers of greenhouse gas emissions, making the road to net zero carbon difficult to navigate.
And yet, Nuveen Real Estate plans to be net zero carbon by 2040 – ten years ahead of when the World Green Building Council states it is necessary to meet the Paris Accord.
Abigail Dean, Nuveen Real Estate’s Head of Strategic Insights, discusses their pathway to net zero carbon and shares best practices for achieving this goal.
– A building-specific approach
– An enterprise-wide pathway
– Local and regional insights from around the globe
– The need for industry collaboration and innovation
– Net zero carbon’s challenges and ambiguities
Measuring, reporting and validating progress to net zero carbon is one of those challenges. GRESB’s Climate Change Specialist Erik Landry joins Abigail to explore the need for reliable ESG information, standardised global benchmarks and collective action in the real estate industry.
Die Renditen der Staatsanleihen von Industrieländern haben im Jahr 2020 Rekordtiefs erreicht, die „Japanisierung“ der Eurozone ist dabei nach Ansicht vieler Marktanalysten in vollem Gange. Nicht zuletzt auch aufgrund des Anleihekaufprogramms der EZB sind selbst die Renditen zahlreicher südeuropäischer Anleihen auf unter 0% gefallen. Welche Möglichkeiten bleibt für institutionelle Anleger sich im Fixed Income Sektor zu positionieren? Im Rahmen unseres Webinars „Ideen für das Fixed Income Portfolio 2021“ wollen wir über verschiedene Sub-Assetklassen bzw. Investmentstrategien sprechen, die im gegenwärtigen Nullzinsumfeld einen Mehrwert für das Portfolio liefern können.
Das Webinar findet am Mittwoch den 17. März 2021 von 14.00 bis 15.15 Uhr statt.
Beiträge kommen von Insight Investment, Vontobel Asset Management und State Street Global Advisors.
Einleitung und Themenübersicht
Frank Schnattinger, Chefredakteur, IPE D.A.CH
Convertibles – The Long and the Short of it
Sabrina Jacobs, Investment Specialist Fixed Income,
Vorteile eines aktiven Ansatzes in Schwellenländeranleihen in Hartwährung
Dr. Wouter Van Overfelt, Head of Emerging Markets Corporate Bonds & Portfolio Manager,
Vontobel Asset Management
Why indexed high yield is the next frontier in the battleground between active and passive approaches in fixed income
David Furey, Head of Fixed Income Portfolio Strategy Group EMEA,
State Street Global Advisors
Philip Lawlor, MD, head of Global Investment Research and Robin Marshall, director of fixed income research at FTSE Russell
Analysis of global markets, Taper Tantrums and inflation risks in 2021.
Join senior members of our Global Investment Research team for analysis on global equity and fixed income markets, as they confront a possible inflation shock, and QE taper. They will assess, to quote Keynes, “what average opinion expects average opinion to be“ and the tail risks, negative and positive.
Our presenters will examine drivers of risk appetite, including:
• Growth and inflation expectations
• Financial conditions
• The profit and valuation cycle
• Factor rotation
• The status of market sentiment.
Throughout the discussion—moderated by Brendan Maton, IPE—you can submit questions.
David Schofield - President, Intech International Division | Dr. Vassilios Papathanakos, Deputy CIO | Brendan Maton, IPE
ESG objectives rely heavily on data, which can be unreliable and limited. Not addressing this fundamental issue threatens investors’ ESG portfolio objectives. In this webinar, the President of Intech’s International Division, David Schofield, and Dr. Vassilios Papathanakos, Deputy CIO, will discuss:
– What are the main challenges that ESG data present?
– What are effective practices to overcome these challenges?
– How can ESG portfolio objectives be reliably targeted?
Economic disruption and market uncertainty pervades today, but most institutional investors are committed to building up their exposure to real assets on a global basis. Investors still need to allocate capital to strategies that can deliver stable returns and diversification.
Pursuing global allocations is all the more challenging today and so there is an even greater need among investors for on-the-ground intelligence on specific regions and markets. The IPE Real Assets Global Virtual Forums is designed to meet this need, providing up-to-date insight into regional real assets markets and to highlight emerging opportunities and investment strategies that can perform through the current global crisis.
This webcast channel is for pension funds and other institutional investment professionals in Europe, the USA and Asia. It is particularly relevant for pension fund executives, trustees, consultants and investment managers. IPE will be bringing its community live interviews with leading figures in the market, hosting roundtable discussions on specific topics such as asset allocation and also sharing latest thought-leadership from investment experts.