This conference will look at various strategies for making pension fund fixed income assets work harder. We will consider the current Outlook and the prospects of both mainstream and other areas that were only recently regarded as alternative strategies. Areas covered will include: global, sovereign, credit, distressed bonds, emerging market bonds, convertible bonds and high yield and will look at how incorporating such strategies into an overall portfolio could improve returns without substantially impacting overall risk levels. We will also examine various derivative based strategies and whether such strategies can make a significant difference to return expectations.
Comments from Delegates Included
"More detailed content than I expected and less asset manager ‘pitch’ than I expected!" Kenny Gibb, The Children's Mutual
"I found this conference particularly helpful and it has given me several thoughts as to possible future actions." Nigel Brooks, Herts County Council
Pension Funds who attended this conference included:
Aerion Fund Management Ltd
Allied Domecq Pension Fund
Anglian Water Services Ltd
Associated British Foods
Atkins Pension Trustee Ltd
Austin Reed Group
AWE Pension Trustees Ltd
BP Pension Trustees Limited
British Steel Pension Fund
CAA
Church Commissioners for England
Commerzbank
Energizer Trust Limited
Galbraith Pension Scheme
Habitat UK Pension and Life Assurance Plan
Herts County Council
HSBC Bank plc
IBM UK Pensions Trust Limited
Ibstock Brick Ltd
Intercontinental Hotel Groups plc
Kier Group plc
Kingfisher plc
London Pension Fund Authority
Marsh & McLennan Companies
Medical Research Council
Molins UK Pension Fund
Monetary Authority of Singapore
Nationwide Building Society
NEST Corporation
Pension Protection Fund
Philips Electronics UK Limited
Philips Pension Fund
Royal Mail Pensions
Sappi UK Pension Scheme
Scott Bader Pension Trust Limited
SEI
Sun Microsystems
The Children's Mututal
The MEP Pension Fund
Unite Amicus Section Pension Scheme
Unite the Union
University of Manchester Superannuation Scheme
West Midlands Pension Fund
A similar conference which was run previously can be found
here
Ed Britton, Senior Investment Consultant, TowersWatson
09.25
Setting the Scene
"Outlook for the UK Economy and Implications for bond Investing”
What are the scenarios for rates and inflation in the UK? And what are the implications for pension fund strategy?
Mike Amey, Head of Sterling Portfolio Management, PIMCO Europe Ltd.
“With interest rates at historical lows and sovereign credit risk high what should a bond portfolio look like?”
Will a prolonged period of low base rates still keep investors interested in bonds? Has sovereign credit quality definitely deteriorated? With the 'once in a lifetime' opportunity to invest in corporate bonds now behind us will destiny be heavily influenced by government bond markets? What approach should investors take to steer through this difficult terrain? Can transparent absolute return bond strategies be constructed to add value?
Paul Brain, Investment Leader Fixed Income, Newton Investment Management (BNY Mellon)
10.45
Coffee/Tea
11.15
Looking for Opportunities
Moderator: Edward Dowler, Independent Pension Trustee
“Opportunities in Fixed Income”
How does a historical perspective and experience in similar environments provide an insight into the current market? How to hunt for value in corporate bonds on a global basis? Where are the opportunities for fixed-income investors? How does an investor capture inefficiencies in today's ever-changing market?
Tim Haarmann, Vice President – Client Portfolio Manager, Loomis, Sayles & Company (Natixis Global Associates)
“Opportunities: Non-Agency RMBS“
What is the impact of the downgrading of about 77% of U.S. RMBS transactions issued between 2005 and 2007 with an original ‘AAA’ class rating? The dollar amount of these original ‘AAA’ bonds that now have ratings of CCC or lower is approximately $1.1trillion. Does this massive distressed opportunity set offer compelling investment characteristics? Can you really find bonds offering high expected returns with strong downside protection?
Carl D Bell, Managing Director, Team Leader, Structured Credit Investment Management, Putnam Investments
12.35
Drinks and Lunch
13.50
Further Opportunities
Moderator: Pedro Pardo, Independent Consultant
“The role of derivatives in modern bond portfolio management” What is available amongst the wide range of derivatives used by many managers today in fixed income portfolios and how are they used? Are they the leveraged root of all evil or can they be used to actually reduce risk?
Fabio Castaldi, Head of Volatility Management, Amundi Asset Management
“Coping with inflation risk in Bond Portfolios”
Rising inflation is a major headache for bond investors as it reduces real returns, can lead to higher interest rates and so lower bond prices. With economic recovery underway, admittedly at varying speeds around the world, the inflation elephant may already be in the room. Should index-linked form a long-term part overall strategic asset allocations? And is there a case for investing in global linkers when the problem is usually a domestic one?
Andy Howse, Investment Director, UK Institutional Fixed Income, Fidelity International
15.50
Panel Session
A pension fund panel will talk about their experiences of adding value by investing in Bonds.
Richard Nunn, Trustee Director, United Reformed Church Pension Trust
Howard Marchant, Director, BT Pension Scheme Trustee Ltd
