Investment Strategy for Defined Benefit and Defined Contribution Pension Funds' is a one day conference providing an update for actuaries on the investment of defined benefit and defined contribution pension funds and on investment topics relevant to actuaries more generally.
The seminar is suitable for actuaries with all levels of experience and background, and provides a concentrated opportunity to gain an expert-led update on salient issues relating to pension fund investment. The seminar includes seven sessions and seeks to both be informative and interactive and to cumulate knowledge and encourage reflection. Sessions have generally, but not exclusively, been of four types: 1) Investment policy and its application in actuarial context. 2) Macro-economic updates and strategic and tactical asset allocation; 3) Updates on specific asset classes such as infrastructure, private equity and private debt; 4) Theoretical perspectives on investment relevant to the actuarial context, such as pro-cyclicality and behavioural finance for actuaries.
Contact Events Team for more information.
0207 632 1498
|08.30-09.00||Registration and Refreshments|
Yally Avrahampour, LSE
The Past, Present and Future of Investing
The world of investing is going through a period of exponential development due to the advancements in passive investing and computational power. I will discuss these developments; providing insights into how investment managers managed client money in the past, what is being done today and where the industry will eventually shift.
Adam French, Scalable Capital
Life-Cycle Investing with Direct Application to Designing Target-Dated Funds
In this talk, we will review current approaches to designing a glide path for target-dated funds. We will suggest that most of these approaches overallocate to equities. We argue this using a small model of the macro environment estimated on quarterly data from 1970- 2015. The model captures the essence of the time-variation of real interest rates , equity risk premiums and the real aggregate wage over the cycle. We then ask what the ideal glide-path would be for a household saving in this environment. Our findings are that bonds hedge our household against both a fall in real wages and interest rates over the economic cycle; equities do not. As result our allocation gives a far greater weight to bonds than is typical in current target dated funds, particularly for younger investors. We also find there are significant opportunities to tactically time risk premiums and this can significantly improve expected performance.
James Sefton, Imperial College London
Bracing for Brexit
Private Credit Investment
UK insurance companies have significantly increased their investments in private credit over recent years. And accessing the returns available on these alternative income investments is a key driver of success for insurers operating in the Bulk Purchase Annuity market.
The Private Credit for Insurers Working Party was set up to share emerging best practice with respect to managing, valuing, and rating these investments, and assessing the appropriate capital requirements.
In this session, we will explore insurers' future appetite for these investments within an evolving regulatory environment insurance, and the potential implications for pension fund investment.
Expected Returns and Prudent Returns
Hemal Popat, Mercer
Trustee Decision Making, Costs, Fees, and Value for Money in Investment Management
Iain Clacher, Leeds University Business School
Futures Perfect? Pension Investment in Futures Markets
Futures are among the most liquid and transparent instruments available to investors. Futures markets span equity, bonds, interest rates, commodities and currencies, with underlying assets from the Australian Dollar to zinc. The presentation will discuss the mechanics, benefits and risks to pension investors of using futures.
Mark Greenwood, Old Mutual Global Investors
|16.40-16.45||Chair's Closing Remarks|
Staple Inn Hall