Love you long time
Superannuation funds and other long-term investors’ success in the wake of the liquidity crisis will depend on their governance arrangements, according to Watson Wyatt, which has urged investors to eschew immediate strategy changes to cash in on emerging opportunities.
In the short term, Watson Wyatt believes asset managers have plenty of opportunity to benefit from the turmoil in the bond and credit markets. And once the short-term economic uncertainties are resolved, this may create a longer-term opportunity to increase exposure to the credit risk premium more generally, at relative pricing that is more favourable than it has been for some years.
As for the long term, the most successful institutional investors will adopt much more dynamic and long-term investment strategies, according to Watson Wyatt, which believes being long term does not mean acting slowly.
Rather, investors should make changes based on long-term principles, the company has advised.
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
