This is “ReSolve’s Riffs” – live on Youtube every Friday afternoon to debate the most relevant investment topics of the day.
 
Most pension plans and other institutional investors with long-term liabilities are faced with an enormous mismatch between the return assumptions in their actuarial models and the combination of sky-high equity valuations and rock-bottom bond yields. Some have chosen to address their funding gaps by adding leverage to their portfolios. Topics of this include:
 
  • Different types of leverage – Implicit vs explicit, recourse vs non-recourse
  • Hidden leverage in private investments
  • Volatility targeting – pro-cyclical vs counter-cyclical
  • Leverages towards concentrated vs diversified investments and market fragility
The conversation was greatly enhanced by a series of questions from our friend Mike Green (Logica Capital) – who we hope will join us in the coming weeks. Special thanks to Mike and others that have participated with their questions.
 
Keep them coming and see you next Friday.
 

Listen on

Apple Podcasts

Subscribe on

Overcast

Listen on

Spotify

Subscribe on

TuneIn

Subscribe on

Android

Subscribe on

Google Podcasts

Subscribe on

Libsyn