Achieving Investment Excellence: A Practical Guide for Trustees of Pension Funds, Endowments and Foundations (Frank J. Fabozzi Series)

Crucial methods, tactics and tools for successful pension fund management Achieving Investment Excellence offers trustees and asset managers a comprehensive handbook for improving the quality of their investments. With a stated goal of substantially and sustainably improving annual returns, this book clarifies and demystifies important concepts surrounding trustee duties and responsibilities, investment strategies, analysis, evaluation and much more. Low interest rates are making the high cost of future pension payouts fraught with tension, even as the time and knowledge required to manage these funds appropriately increases'it is no wonder that pensions are increasingly seen as a financial liability. Now more than ever, it is critical that trustees understand exactly what contributes to investment success'and what detracts from it. This book details the roles, the tools and the strategies that make pension funds pay off. -Understand the role of pension funds and the fiduciary duty of trustees -Learn the tools and kills you need to build profound and lasting investment excellence -Analyse, diagnose and improve investment quality of funds using concrete tools and instruments -Study illustrative examples that demonstrate critical implementation and execution advice Packed with expert insight, crucial tools and real-life examples, this book is an important resource for those tasked with governing these. Achieving Investment Excellence provides the expert insight, clear guidance and key wisdom you need to manage these funds successfully. Read more... Abstract: Crucial methods, tactics and tools for successful pension fund management Achieving Investment Excellence offers trustees and asset managers a comprehensive handbook for improving the quality of their investments. With a stated goal of substantially and sustainably improving annual returns, this book clarifies and demystifies important concepts surrounding trustee duties and responsibilities, investment strategies, analysis, evaluation and much more. Low interest rates are making the high cost of future pension payouts fraught with tension, even as the time and knowledge required to manage these funds appropriately increases'it is no wonder that pensions are increasingly seen as a financial liability. Now more than ever, it is critical that trustees understand exactly what contributes to investment success'and what detracts from it. This book details the roles, the tools and the strategies that make pension funds pay off. -Understand the role of pension funds and the fiduciary duty of trustees -Learn the tools and kills you need to build profound and lasting investment excellence -Analyse, diagnose and improve investment quality of funds using concrete tools and instruments -Study illustrative examples that demonstrate critical implementation and execution advice Packed with expert insight, crucial tools and real-life examples, this book is an important resource for those tasked with governing these. Achieving Investment Excellence provides the expert insight, clear guidance and key wisdom you need to manage these funds successfully Content: Intro Table of Contents About the Authors Acknowledgments Foreword Introduction LEVELS OF EXCELLENCE: ASSESSING AND IMPROVING YOUR PRACTICE HOW TO USE THE BOOK CHAPTERS OF THE BOOK PART I: PENSION FUNDS: UNDERSTANDING THE ROLE, SHAPING THE MISSION PART II: DESIGNING THE PROCESS PART III: IMPLEMENTING THE INVESTMENTS PART IV: ORGANIZING THE BOARD PART V: LEARNING, ADAPTING AND IMPROVING SELF-REFLECTION QUESTIONS ENDNOTE PART One: Pension Funds: Understanding the Role, Shaping the Mission CHAPTER 1: The Role of Pension Funds, and the Role of Boards THE ROLE OF PENSION FUNDS THE PENSION TRIANGLEDUTIES OF TRUSTEES UNDERSTANDING AND MANAGING YOUR STAKEHOLDERS ENDNOTES Case Study-GEPF THE DUAL MANDATE DILEMMA ENDNOTES CHAPTER 2: Developing Purpose, Mission, Vision, and Goals THE FUNCTIONS OF A PENSION FUND PURPOSE MISSION VALUES VISION STRATEGIC GOALS ENDNOTES PART Two: Designing the Process CHAPTER 3: Grasping the Investment Essentials INVESTMENT GOALS UNDERSTANDING RETURN CONCEPTS UNDERSTANDING RISK CONCEPTS STEERING YOUR PORTFOLIO ENDNOTES Case Study-PFZW TAKING OWNERSHIP OF AND REBUILDING INVESTMENT PRINCIPLES AFTER THE GREAT FINANCIAL CRISISENDNOTE CHAPTER 4: Investment Beliefs as Guiding Tools WHY INVESTMENT BELIEFS MATTER BASICS OF AN INVESTMENT BELIEF DEVELOPING A SET OF INVESTMENT BELIEFS WHEN, IF EVER, IS THE TIME TO CHANGE INVESTMENT BELIEFS? HOW (NOT) TO USE INVESTMENT BELIEFS ENDNOTES Case Study-New Zealand Superannuation Fund BUILDING A GLOBAL INVESTMENT FUND FROM SCRATCH WITH THE MISSION TO MAXIMIZE THE FUND'S LONG-TERM RETURN, AND INTEGRATE CLIMATE CHANGE IN A DEEP WAY CONSISTENT WITH THE LONG-HORIZON NATURE OF THE FUND ENDNOTESCHAPTER 5: Designing the Investment Management Process THE INVESTMENT PROCESS SETTING OBJECTIVES: ALIGNING GOALS AND RISK APPETITE FORMULATING EXPECTATIONS PORTFOLIO CONSTRUCTION IMPLEMENTATION AND MONITORING THE INVESTMENT POLICY STATEMENT ENDNOTES CHAPTER 6: Organizing the Investment Function INVENTORIZING INVESTMENT MODELS DEVELOPING YOUR OWN INVESTMENT APPROACH ENDNOTES Case Study -- GPFG BUILDING A LONG-TERM, RESPONSIBLE FUND ON SOLID ACADEMIC AND EVIDENCE-BASED PRINCIPLES ENDNOTES PART Three: Implementing the Investments CHAPTER 7: Implementing the Investment StrategyORGANIZING THE IMPLEMENTATION THE RATIONALE FOR MANAGING COSTS SELECTION OF MANAGERS ACTIVE vs. PASSIVE MANAGEMENT INTERNAL vs. EXTERNAL MANAGEMENT RELATIONSHIP WITH SUPPLIERS BRIDGING THE IMPLEMENTATION GAP ENDNOTES Case Study-ATP CREATING SCOPE FOR INVESTMENT SOPHISTICATION THROUGH CLARITY OF OBJECTIVES AND STRONG AND TRANSPARENT RISK MANAGEMENT ENDNOTES CHAPTER 8: Building the Investment Portfolio FRAMEWORK FOR THE INVESTMENT PORTFOLIO THE BOARD'S ROLE IN PORTFOLIO CONSTRUCTION CAPITAL MARKET ASSUMPTIONS ENDNOTES

Crucial methods, tactics and tools for successful pension fund management

Achieving Investment Excellence offers trustees and asset managers a comprehensive handbook for improving the quality of their investments. With a stated goal of substantially and sustainably improving annual returns, this book clarifies and demystifies important concepts surrounding trustee duties and responsibilities, investment strategies, analysis, evaluation and much more.

Low interest rates are making the high cost of future pension payouts fraught with tension, even as the time and knowledge required to manage these funds appropriately increases -- it is no wonder that pensions are increasingly seen as a financial liability. Now more than ever, it is critical that trustees understand exactly what contributes to investment success -- and what detracts from it. This book details the roles, the tools and the strategies that make pension funds pay off.

• Understand the role of pension funds and the fiduciary duty of trustees
• Learn the tools and kills you need to build profound and lasting investment excellence
• Analyse, diagnose and improve investment quality of funds using concrete tools and instruments

• Study illustrative examples that demonstrate critical implementation and execution advice

Packed with expert insight, crucial tools and real-life examples, this book is an important resource for those tasked with governing these. Achieving Investment Excellence provides the expert insight, clear guidance and key wisdom you need to manage these funds successfully.