Evolving Investment Solutions Confront the Challenges of the New Normal
03/22/2010 0 comments
March 2010
From PIMCO
In this article, three product managers from PIMCO gave investors some guidances about asset allocation in the New Normal economic environment. They answered questions about re-evaluation of asset allocation strategies, tail risk hedging strategies, re-evaluation of benchmarking strategy, illiquidity in longer-term alternative investments, currencies, credit opportunities, cash management and inflation protection.
Many investors are looking for new solutions designed to better position their portfolios to take advantage of opportunities and protect against risks and uncertainties. In this interview, PIMCO product managers Bruce Brittain, Jim Moore and Mark Taborsky discuss some innovative solutions for investing in the New Normal economic environment and address some of the questions and concerns we’re hearing from clients in 2010.
Q: What are some ways for investors to re-evaluate their asset allocation strategies in light of the broad secular shifts PIMCO sees taking place?
Q: How do tail risk hedging strategies fit into an asset allocation solution?
Q: Is a re-evaluation of benchmarking strategy a part of this broader solutions approach?
Q: How do alternatives fit into an allocation strategy, and are there concerns over illiquidity in longer-term alternative investments?
Q: Do currencies have a place in a broad asset allocation approach?
Q: Looking back at the surge in credit in 2009, have the best credit opportunities now passed? What are some suggestions for investing in credit in 2010?
Q: How should investors include cash management in their allocations, given concerns about safety and liquidity?
Q: Many investors are focused on the inflation outlook and inflation protection – how does a solutions-focused approach address inflation?
labels:investment,
comments 0
