ETF use increasing among insurance companies
A recent Greenwich Associates/Invesco study showed 70% of U.S. insurance companies now use ETFs. The primary reasons for using ETFs were better access to cash/liquidity management, to gain or maintain specific exposures and low cost. ETF holdings are still a small portion of insurance company portfolios. The main reason for increased adoption is the result […]
80% of the stock market is now on autopilot
Passive investments control about 80% of the equity assets while quantitative funds (trend following models) account for 20% of market share. Passive Funds have attracted $39 billion in inflows during first half of 2019, while active funds have lost $90 billion. (link to article: https://tinyurl.com/y62es57r)
The Next Markets for ETF Disruption? Hedge Funds, Private Equity and SMAs
Hedge funds and private equity are two large markets with huge fees and lockup periods that are ripe for disruption by ETFs, says Matt Hougan of ETFs.com at their annual Inside ETFs conference. Such markets will continue to drive growth in assets in ETFs, which currently account for only $5 trillion of the $150 trillion […]
Multi-Asset ETF Portfolio Best Route for Smaller Endowments, Isenberg Professor Says
Hossein Kazemi, senior adviser to the Chartered Alternative Investment Analyst (CAIA) Association and professor of finance at the Isenberg School of Management at the University of Massachusetts, is claiming that many endowments should skip investments in illiquid assets such as hedge funds and private equity in favor of a multi-asset ETF portfolio. Kazemi argues that most […]
DC Plans Slow to Adopt Liquid Alts…But Why?
A recent article on Wealth Management.com titled “Liquid Alts in DC Plans? Don’t Hold Your Breath” discusses the relatively slow adoption of Liquid Alts by defined contribution (DC) Plans relative to what Defined Benefit Plans (DB) have done. The arguments for liquid alts, as the article presents, include managing return and risk management, managing volatility, […]
3 Things Every Plan Committee Member Should Know
1. You are an ERISA fiduciary 2. As an ERISA fiduciary, your liability is personal 3. You are responsible for the actions of other plan fiduciaries. Your responsibilities are to act solely in the interest of plan participants. Following plan documents, diversifying investments to minimize the risk of large losses, and ensuring the plan’s expenses […]
ETF Model SolutionsTM Named Finalist for Wisconsin Innovation Awards
Appleton, WI. August 13, 2015. APPLETON, Wis.—ETF Model SolutionsTM and its affiliate, Endowment Wealth ManagementTM have been named finalists for the Wisconsin Innovation Awards based on their development of the Endowment IndexTM(symbol: ENDOW) and related index-based investment strategies. The Endowment IndexTM calculated by Nasdaq OMX® has created national awareness, assisted in the development of new strategic partnerships, attracted investors in the […]
“What’s In My Target Date Fund?” Isn’t The Only Question That Needs To Be Asked About TDFs
Given the large amounts of money flowing into target date funds, more effort by plan sponsors and participants should be devoted to understanding the methodology that the managers of the funds are using to manage the “glide path” of the fund. The reason that TDFs are so popular is because of the belief that these […]
Largest University Endowments Afford Their Schools Competitive Advantage
A recent article by CNBC economics reporter John W. Schoen provides an in-depth look into reasons behind the rising cost of higher education in the U.S. It’s a complicated issue, with many moving parts. The after-effects of the 2008 recession, expanding student services, required budgetary expansion in state budgets, such as pensions, healthcare and Medicaid, […]
ETF.com Award Winners Announced
ETF.com announced its 2014 award winners at its annual banquet held in New York City on Thursday. Endowment IndexTM calculated by Nasdaq OMX® was a finalist for Index of the Year. The Index of the Year award went to the Bloomberg U.S. Dollar Spot Index. Other category winners included: ETF of the Year: Wisdom Tree […]
