Money and Finance
- Pershing Square Q2 Letter
Link to: Pershing Square Q2 Letter Pershing Square – Reflections After Ten Years We began investing capital January 1st, 2004 in partnership with a subsidiary of Leucadia National Corp. (NYSE:LUK) which invested $50 million in Pershing Square, L.P....
- South Carolina’s Pension Push Into High-octane Investments
MANY mornings, the yellow Lamborghini would swing into view, sweep past tree-softened streets with a low, smooth rumble and throttle down outside an office near the State House downtown. Behind the wheel was a financier named Robert L. Borden. Around...
- Pensions Find Riskier Funds Fail To Pay Off
Thanks to Phil for passing this along. Searching for higher returns to bridge looming shortfalls,public workers’ pension funds across the country are increasingly turning toriskier investments in private equity, real estate and hedge funds. But while...
- In Punishing Year For Hedge Funds, Biggest One Thrived
Found via ValueWalk. The world’s biggest hedge fund is also one of the best performers. Bridgewater Associates, which manages nearly $120 billion, posted returns of 23 percent in 2011 — a year when the average hedge fund portfolio lost 5 percent....
- Public Pension Funds Are Adding Risk To Raise Returns
Does anyone think this is likely to end well? States and companies have started investing very differently when it comes to the billions of dollars they are safeguarding for workers' retirement. Companies are quietly and gradually moving their pension...
Money and Finance
The Canadian Model: Invented in South Dakota?
Found via Abnormal Returns. It looks like the South Dakota Annual Report is also available HERE.
What public pension system in the US of A is the best? Seriously, take a second and jot down the retirement system or investment council you think generates the highest investment returns. Got it?
Anybody pick the South Dakota Retirement System or its Investment Council? I didn't think so. But the SDIC just clocked 19.5 percent for the fiscal year ending June 30, which is truly remarkable.
Here's how the Chairman of the SDIC explained the performance in a recent legislative session: "The staff for the last four years have hit home runs every year. This year, they hit a grand slam walk-off home run."
No kidding. The Chairman went on to say that he expects this performance will place the SDIC as the single best performing pension fund in the nation. And I bet he’s right. You know why? Because the SDIC is almost always among the best funds in the nation.
…
So, you may be wondering, how does the SDIC do it? Let’s just say that the “Canadian Model” may have been invented in South Dakota. Indeed, the SDIC manages most of its assets internally:
“The Investment Council manages most assets internally to save money and to try to earn higher returns. Internal management is cheaper than external managers, especially for expensive areas such as global equity, high yield, and arbitrage. Index funds are another low cost alternative, but would preclude any opportunity to add value above index returns. The Council believes the superior performance that has historically come from its internal management relates to a greater focus on long-term value and increased conviction from performing in-house research.”
- Pershing Square Q2 Letter
Link to: Pershing Square Q2 Letter Pershing Square – Reflections After Ten Years We began investing capital January 1st, 2004 in partnership with a subsidiary of Leucadia National Corp. (NYSE:LUK) which invested $50 million in Pershing Square, L.P....
- South Carolina’s Pension Push Into High-octane Investments
MANY mornings, the yellow Lamborghini would swing into view, sweep past tree-softened streets with a low, smooth rumble and throttle down outside an office near the State House downtown. Behind the wheel was a financier named Robert L. Borden. Around...
- Pensions Find Riskier Funds Fail To Pay Off
Thanks to Phil for passing this along. Searching for higher returns to bridge looming shortfalls,public workers’ pension funds across the country are increasingly turning toriskier investments in private equity, real estate and hedge funds. But while...
- In Punishing Year For Hedge Funds, Biggest One Thrived
Found via ValueWalk. The world’s biggest hedge fund is also one of the best performers. Bridgewater Associates, which manages nearly $120 billion, posted returns of 23 percent in 2011 — a year when the average hedge fund portfolio lost 5 percent....
- Public Pension Funds Are Adding Risk To Raise Returns
Does anyone think this is likely to end well? States and companies have started investing very differently when it comes to the billions of dollars they are safeguarding for workers' retirement. Companies are quietly and gradually moving their pension...