Achieving Investment Excellence

Index

• A
• academic advisors 247, 248
  • level of excellence 265
• academic endowments 113–14
• accountability 184–5
  • Opportunity Cost Model 118
• action bias 240
• active management 65–6, 68–9, 79, 80, 136–8
  • belief about 84
• adaptation vs. execution decisions 268
• ad hoc decision-making 193
• advice taking
  • challenges and dilemmas in taking 249–50
  • from consultants 247–9
  • using experts 245–7
• agency relationships 27–30
• agenda
  • board meetings 188
  • investment committee meetings 211–12
    • position of monitoring on 170–1
• aggregation, use of to make predictions 58

• “alignment of interests”, IMOs 14, 226–7

• ALM (Asset Liability Management) 243–5

• “alpha” 70
  • correlation with beta 177

• alternative assets/investments
  • and diversification 115, 159
  • and endowment funds 114
  • vs. conventional assets 67
• altitude, board perspective 3–4, 198, 208
• ambition
  • collective 40
  • defining long-term 266
  • of individual trustees 265
• Arbejdmarkedets Tillaegspension (ATP), Denmark 144–6
• asset transformation, pension fund function 42–3
• Australia, Future Fund 171, 229–32, 267

• B
• behavioral finance 80, 236–41
  • herding behavior 107
  • risk and behavior 63–4
• beliefs see investment beliefs
• benchmarks 65
  • CERN pension fund 100
  • extra return correlated with 69
  • operational model 119–20
  • passive Reference Portfolio, NZFS 90, 91
  • policy 119
  • portfolio construction 101–2, 149, 153
  • and the Reference Portfolio Model 117–18

• “beta” 70, 112
  • correlation with alpha 177
• “better beta investing” 70

• biases in decision-making 240
• blame ...