Investing

Even Passive TDF Glide Path Designs Require Active Thinking

“There is no such thing as a passive glide path design, and this, as well as the many other active decisions that go into the creation and management of a TDF, can translate into meaningful differences in investment risks and results, even among passive TDFs,” observes Jake Gilliam at Charles Schwab.

Mercer TDF Analysis Highlights Passive Growth, Home Equity Bias

In its discussions with TDF managers, Mercer has found many managers say they have not aligned with the ACWI, and have continued with portfolios that display home equity bias for a number of reasons; the research also shows strong growth in passive TDF market share.

Paper Argues Green Bonds Can Help Investors Mitigate Risk Factors

"Based on our observations as managers of global fixed income portfolios, the integration of ESG factors and green bonds into the investment process can help investors reap opportunistic gains as well as defend returns,” Yvette Klevan with Lazard Asset Management says.

CVS Wins Dismissal of Stable Value Fund Suit by 1st Circuit

The plaintiffs' showing that the CVS retirement plan's stable value fund departed from a study of other stable value funds' investments did not support a plausible claim that such decision-making was imprudent, the appellate court ruled.

Measuring Managed Account Performance Is Part Art, Part Science

A new analysis out from Empower Retirement finds historical investment performance does not serve as an optimal overall measure of value delivered by a managed account; there is strong evidence to suggest “engaged participants” extract more value from managed accounts.

A Passionate Defense of ESG Investing from Connecticut Treasurer

While the investing rules controlling the Connecticut public pension fund are different from those governing corporate retirement plans, the argumentation as to why gun manufacturer divestment may be the right thing to do offers some food for thought for anyone charged with the fiduciary management of retirement plan assets.

Institutional ESG Investing Can Bring Tough Reporting Questions

Highlights from a new Natixis survey suggest reporting challenges continue to rank as top hurdle for institutions implementing ESG programs; this includes the concern that public companies may be “greenwashing” reported data to enhance their public image.