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2019 Outlook: Institutional Investors See an End to the Bull Market but Are Ready to Handle Increased Risks, Natixis Survey FindsNearly two-thirds (65%) of institutional investors predict that the decade-long US bull market will end in the next 12 months, bringing to a close the historic bull market that brought record-high stock prices and record-low volatility. But even as they anticipate more turbulent times, six in ten investors say they feel prepared to handle the risks in 2019, according to a new report released today by Natixis Investment Managers. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20181205005484/en/ Active features prominently in portfolio plans (Graphic: Business Wire) "Our research shows institutional investors are already positioned for the potential market turbulence on the horizon," said David Giunta, CEO for the US and Canada at Natixis Investment Managers. "For these sophisticated investors, actively managed strategies and alternative investments are their tools of choice to help optimize their portfolios for the challenges ahead." Natixis Investment Managers' Center for Investor Insight surveyed 500 institutional investors around the world on their market outlook and asset allocation plans for 2019. These investors manage more than $16 trillion of assets for retirees, governments, insurance companies and other institutions. According to the findings, institutional investors anticipated today's market challenges given the trends of the past several years. As a result, few of them plan drastic changes to return assumptions or portfolio strategy and will remain focused on active management to guide them through more volatile markets in the year ahead. Eight in ten (79%) institutional investors agree the market environment in 2019 is likely to be favorable for active portfolio management. Accordingly, investors continue to increase their allocations to active strategies while their use of passive strategies continues to decline. Current allocations are split 70% active and 30% passive, up from 64% active with 36% passive in 2015. The study also found:
According to the report, institutional investors also have identified several trends that will drive their long-term investment strategy. Among them are:
The report, titled "Keep Calm and Invest On," includes additional trends and concrete findings guiding institutional investors' ongoing investment strategy. To download a copy of the full report, im.natixis.com/us/research/institutional-investor-survey-2019-outlook. Methodology Natixis Investment Managers surveyed 500 institutional investors, including managers of corporate and public pension funds, foundations, endowments, insurance funds and sovereign wealth funds in North America, Latin America, the United Kingdom, Continental Europe, Asia and the Middle East. Data were gathered in October and November 2018 by the research firm CoreData. About the Natixis Center for Investor Insight As part of the Natixis Investment Institute, the Center for Investor Insight is dedicated to the analysis and reporting of issues and trends important to investors, financial professionals, money managers, employers, governments and policymakers globally. The Center and its team of independent and affiliated researchers track major developments across the markets, economy, and investing spectrum to understand the attitudes and perceptions influencing the decisions of individual investors, financial professionals, and institutional decision makers. The Center's annual research program began in 2010, and now offers insights into the perceptions and motivations of over 70,000 investors from 31 countries around the globe. About Natixis Investment Managers Natixis Investment Managers serves financial professionals with more insightful ways to construct portfolios. Powered by the expertise of 27 specialized investment managers globally, we apply Active Thinking? to deliver proactive solutions that help clients pursue better outcomes in all markets. Natixis ranks among the world's largest asset management firms3 with nearly $1 trillion assets under management4 ($999.5 billion/€860.6 billion AUM). Headquartered in Paris and Boston, Natixis Investment Managers is a subsidiary of Natixis. Listed on the Paris Stock Exchange, Natixis is a subsidiary of BPCE, the second-largest banking group in France. Natixis Investment Managers' affiliated investment management firms and distribution and service groups include Active Index Advisors®;5 AEW; AlphaSimplex Group; Axeltis; Darius Capital Partners; DNCA Investments;6 Dorval Asset Management;7 Gateway (News - Alert) Investment Advisers; H2O Asset Management;7 Harris Associates; Investors Mutual Limited; Loomis, Sayles & Company; Managed Portfolio Advisors®;5 McDonnell Investment Management; Mirova;8 MV Credit; Ossiam; Ostrum Asset Management; Seeyond;8 Vaughan Nelson Investment Management; Vega Investment Managers; and Natixis Private Equity Division, which includes Seventure Partners, Naxicap Partners, Alliance Entreprendre, Euro Private Equity, Caspian Private Equity;9 and Eagle Asia Partners. Not all offerings available in all jurisdictions. For additional information, please visit the company's website at im.natixis.com | LinkedIn (News - Alert): linkedin.com/company/natixis-investment-managers. Natixis Investment Managers includes all of the investment management and distribution entities affiliated with Natixis Distribution, L.P. and Natixis Investment Managers S.A. Natixis Distribution, L.P. is a limited purpose broker-dealer and the distributor of various registered investment companies for which advisory services are provided by affiliates of Natixis Investment Managers.
1 Natixis Investment Managers Global Survey of 500
Institutional Investors, CoreData Research, November 2016 2333852.1.1 View source version on businesswire.com: https://www.businesswire.com/news/home/20181205005484/en/ |