Portfolio for the Future: A practitioner’s guide to the five essential marks of effective capital allocation
Portfolio for the Future
Whitepaper
Sponsored
The contributors of this whitepaper discuss the five marks of the Portfolio for the Future™—broadly diversified, less liquid, rooted in a fiduciary mindset, actively engaged, and dependent on operational alpha.
Broadly Diversified: Commonfund CEO and CIO Mark Anson, CAIA
Less Liquid: Andrea Auerbach, Cambridge Associates global head of private investments
Rooted in a Fiduciary Mindset: Roger Urwin, Global Head of Content at the Thinking Ahead Institute
Actively Engaged: Anne Simpson, Global Head of Sustainability, Franklin Templeton and former Managing Investment Director of Board Governance & Sustainability, CalPERS
Dependent on Operational Alpha: Ashby Monk, PhD, Executive Director, Stanford Research Initiative on Long Term Investing
These are the defining features of all-weather portfolios that meet the challenges of the global economy and capital markets.
We must all rise to the occasion.
In the coming decades, meeting investment outcomes and fulfilling our fiduciary responsibility will be a much taller order than it has been in recent years. The Portfolio for the Future™ will demand that investment professionals become more enterprising and work harder than ever to construct diversified and creative portfolios anchored to client goals. This will require summoning professional poise and counter-cyclical courage and focusing, more than anything else, on the long-term goals of our clients while avoiding paralysis and the seduction of short-termism.
To read more about the five marks of the Portfolio for the Future, please download the full report here.
Furthermore, it is worth also reflecting on four key themes that are woven throughout the marks that define the Portfolio for the Future™, ones that have also echoed throughout CAIA’s research and conversations with investment professionals. These trends are worth watching and will challenge our industry. And they may ultimately graduate into full-fledged “marks” themselves, sitting alongside the current five and contributing to a further reshaping of the ever-evolving investing landscape.
Download the full report here.
Disclaimer
All information contained within this publication is general advice only, as the knowledge levels and needs of all individual and corporate investors vary greatly this publication should not be used solely as a decision-making tool, further opinions and information should be sought before making an investment decision. It is the recommendation of Global Investment Institute (GII) that you seek the opinions of a fee-for-service, independent investment adviser before making any investment decision.
The authors, directors or guest writers may have a financial interest as investors, trustees or directors in investments discussed or recommended in this document. It has been assessed by the editors that these financial interests have not had an impact on the material contained here within.
All material appearing in GII’s Global Investment Insights is copyright, reproduction in whole or part is not permitted without written permission from the Publisher, GII.
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