POWERED BY MOMENTUM MEDIA
Investment managers turn more cautious
Fund managers have turned significantly more cautious about the prospects for world growth and investment returns, according to the latest global survey of investment managers conducted by Towers Watson.
Announcing the results of the survey today, the company said the findings were in contrast to last year's survey, when managers expected the recovery to remain on track and were bullish on public equities and emerging markets.
Commenting on the findings, Towers Watson global head of investment Carl Hess said the global economic recovery remained as elusive and fragile as ever.
He said the second half of 2011 was a reminder that the fundamentals with respect to extreme indebtedness in the western world, and weak and uncertain prospects for growth, had not gone away.
Hess said these factors had clearly influenced mangers' outlook for 2012.
"As such this influential group of investment managers has shifted from expecting a continuing path to recovery and the avoidance of a double-dip recession in some markets, to anticipating a more volatile and patchy period defined by increased levels of risk, some growth and significantly lower returns," he said.
Hess' analysis pointed to continuing concern around Europe, but a view that the US outlook would continue to improve.
He said that managers had little concern about the fiscal situations in Canada, Australia and China.
AUTHOR
Mike Taylor
Recommended for you
Super funds had a “tremendous month” in November, according to new data.
Australia faces a decade of deficits, with the sum of deficits over the next four years expected to overshoot forecasts by $21.8 billion.
APRA has raised an alarm about gaps in how superannuation trustees are managing the risks associated with unlisted assets, after releasing the findings of its latest review.
Compared to how funds were allocated to March this year, industry super funds have slightly decreased their allocation to infrastructure in the six months to September – dropping from 11 per cent to 10.6 per cent, according to the latest APRA data.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI Second Close
61.07 3 y p.a(%)
2
Spire Oaktree Opportunities XI First Close USD
59.21 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.73 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
30.15 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
26.71 3 y p.a(%)
