Investing lessons from the world's largest pension funds

Investing lessons from the world’s largest pension funds

Jonathan Bell, CIO of Stanhope Capital, tells Investment Week how management strategies at the largest funds in the world differ, particularly in relation to hedge funds and quoted equities.

It is always interesting to see how some of the largest and most respected pension funds and endowments are managing their investments. For example, CalPERS, the California Public Employees’ Retirement System, recently announced it is selling its entire hedge fund allocation of £4bn. This is despite having been invested in the hedge fund sector since 2002. The interim chief investment officer, Ted Eliopoulos, told investors in September that: “One of our fundamental investment principles is that cost matters”, before adding that hedge funds are “an expensive investment vehicle, especi...