Regulation 28: Should SA pension funds allocate more capital to private equity?
Before the redraft of Regulation 28, the amount of capital SA pension funds could allocate to private equity was ill-defined. This was largely because regulators didn’t fully acknowledge the importance of this investment vehicle. Under the revised Regulation 28, pension funds can now invest up to 10% of their total assets in private equity. However,...
What can private equity offer SA pension funds?
Now that Regulation 28 of the Pension Funds Act allows pension funds to invest 10% of their portfolio in private equity, it is worth considering what this asset class has to offer. Internationally, it is best practice to include private equity in an institutional portfolio. In the U.S., for example, both pension funds and endowment...
Why the move to liability-driven investment?
The 'old school' approach to setting a pension fund’s investment strategy has usually been to set a target return and then structure the assets to try to match the actual performance with the targeted performance. This approach didn’t fully recognise the importance of meeting the fund’s future pension obligations. The success of...
Liability-driven investment – the only framework in today’s pension environment
You don’t have to spend a great deal of time researching global pension issues to establish that threats like longevity and adverse equity and interest rate environments have contributed to the near-demise of Defined Benefit (DB) plans. As a result, the risk of not having enough money in retirement now falls firmly on the individual...
Responsible investing – where do you start?
Learn the regulatory frameworks on integrating ESG into investments Since 2007, PF130 has actually included sections on responsible investing and clearly states: “Funds should include a policy on socially responsible investments (SRI) in their investment policy statement.” The incorporation of ESG factors into the requirements of the new Reg 28...
Regulation 28 puts responsible investing firmly on the agenda
“We are living off the Earth’s capital – we need to live off the interest.” Achim Steiner, Executive Director of the United Nations Environment Program The preamble of the new Regulation 28 of the Pensions Fund Act states that prudent investing means giving appropriate consideration to any factor that could materially affect...
Spoilt Votes August 2011, The landscape of proxy voting at South African asset managers.
If you had the power to improve your situation just by raising a hand, would you nonetheless refuse to exercise this power no matter how bad things are, no matter how much better they could be? Read and download our latest research here. ...
IFC Press
IFC-SinCo reports US$125 billion in Sustainable Investment in Sub-Saharan Africa IFC, a member of the World Bank Group, has released the most comprehensive study to date of Sustainable Investment (SI) in Sub-Saharan Africa (SSA). The report is based on research by SinCo and RisCura including over 160 interviews of investors and advisors. DOWNLOAD THE...
LDI Press Release: Sustainable investment ‘taking hold in Africa’
RisCura launches new LDI Monitoring Service RisCura has launched a monthly monitoring service that uses the principles of liability-driven investment (LDI) to detail how the assets of a defined benefit pension fund are tracked versus its liabilities, and according to its investment strategy....