Bringing you live news and features since 2006 

Georg Schuh, CIO, DB Advisors

Institutional Asset Manager Survey: Key trends in institutional asset management 2009-2011 and beyond: Georg Schuh, CIO, DB Advisors


In light of the current fiscal and monetary concerns that are gripping the minds of investors around the world, Institutional Asset Manager asked the heads of some of the world’s leading asset managers to share their thinking on portfolio management trends post-Lehman and beyond 2011 in concise fashion. Georg Schuh (pictured), CIO, DB Advisors, responds:

"We are seeing more institutional investors adopting total-return targets, instead of managing their assets relative to traditional benchmarks. This trend has gathered momentum in recent quarters and will continue to do so.

"Total-return targets give a portfolio manager much greater flexibility: for example, it is possible to de-risk significantly in times of increased political certainty, or even hedge duration to zero, if appropriate. A total-return focused manager can also express views on specific countries within a region more easily than a manager constrained by a benchmark.
"Another important trend is that benchmark-oriented investors are increasingly turning away from the typical market-weighted bond indices, which tend to overweight the most indebted countries. There is a growing move toward benchmarks that incorporate fundamental long-term parameters like GDP growth, debt-to-GDP, sovereign deficit positions, and even demographic patterns.
"Third, the sovereign debt crisis has put new demands on fixed income managers. For instance, they need to rethink the way they research sovereign issuers. Following the downgrades of the European peripheral countries, sovereigns like Greece should be treated (from a research perspective) as emerging market countries.
"To that end, DB Advisors has moved coverage of the peripheral European countries to our Emerging Markets team, which has the most appropriate analytical expertise. Second, methodologies used for credit analysis – i.e. to assess corporate bonds – are now extremely useful in evaluating lower investment-grade sovereign issuers."

Latest News

Figment Europe, a provider of institutional staking infrastructure, writes that it is solidifying its presence in the heart of Europe’s..
Saving and investing app, Moneybox, has doubled the number of ETFs available on the platform, in the light of ‘growing..
Global X ETFs has announced the appointment of Ryan O'Connor as its Chief Executive Officer effective as of April 8, 2024. ..
Value-driven structured credit investing firm, Angel Oak Capital Advisors, LLC, has announced the completed conversions of two of its mutual..

Related Articles

Jigna Gibb, Bloomberg
Bloomberg Indices has recently hired Jigna Gibb as Head of Commodities and Crypto Index Products, to lead its commodities and...
Robert Minter, director of ETF investment strategy at abrdn takes a look at passive investing in commodities and shares his...
Ryan McCormack, Invesco
This year sees the 25th anniversary of Invesco’s QQQ, the USD240 billion ETF – the fifth largest ETF in the...
The European ETF market achieved a record 28 per cent growth – reaching over USD1.8 trillion assets under management (AUM)...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by