International briefs – November 7, 2002
SRI boost
ABP, Europe’s largest pension fund, is preparing to launch a US$250 million fund for investing in socially responsible companies that would be open to other pension funds, according to theFinancial Times.
The SRI fund, which is likely to be given $100 million by APB, is a joint venture with the Innovest Group, a specialist US consultancy.
The fund is expected to be launched in December, and theFinancial Timessays it is the latest sign that socially responsible investment is fast becoming part of the mainstream.
Fund numbers dip
Managed funds numbers have dropped for the first time in 27 years according to the latest report from the Investment Company Institute trade association in the US which says there are fewer funds available in the US now than there were a year ago, down from 8325 in August of 2001 to 8323 in August of this year. While the drop is minor, the figures came as a surprise since the last reported decline for any calendar year was 1975, when the total number of funds was 426. Bloomburg-.com suggests the result reflects complaints that too many funds cause investor confusion.
Life at the top
The reputation of Swiss Life suffered a fresh blow after the embattled insurer confirmed it had set up a little-known investment vehicle to help some of its senior executives manage their private wealth, theFinancial Timesreports.
The 145-year-old Swiss life assurer issued a statement confirming the existence of Long Term Strategy, an investment vehicle that had been part-owned by Swiss Life and some of its top executives.
Swiss Life described its role in Long Term Strategy as a co-investor, saying members of its corporate executive board — but not directors of the company — were able to “invest private assets at their own risk”.
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With many advisers preparing to retire or sell up, business advisory firm Business Health believes advisers need to take a proactive approach to informing their clients of succession plans.
Retirement commentators have flagged that almost a third of Australians over 50 are unprepared for the longevity of retirement and are falling behind APAC peers in their preparations and advice engagement.
As private markets continue to garner investor interest, Netwealth’s series of private market reports have revealed how much advisers and wealth managers are allocating, as well as a growing attraction to evergreen funds.
