Ahead of the curve: Hold faith in Chinese equities

Ahead of the curve: Hold faith in Chinese equities Investment & Pensions Europe (IPE) February 2019 By Jason Hsu and Phillip Wool (article contribution to IPE) https://www.ipe.com/analysis/ahead-of-the-curve/ Excerpt: Exposure to Chinese equities presents opportunities in both market beta and alpha For emerging markets stocks, 2018 was a challenging year. Mainland Chinese stocks – the ‘A…

Taiwan’s BLF opens tender for US$1.5 billion multi-factor mandate

Taiwan’s BLF opens tender for US$1.5 billion multi-factor mandate Asia Asset Management November 21, 2018   https://www.asiaasset.com/news/Taiwan_BLF_1120.aspx   Excerpt:   Taiwan’s Bureau of Labor Funds (BLF), which supervises the island state’s labour pensions, is calling for bids for its first multi-factor mandate, with total funding of US$1.5 billion. The BLF is looking for five fund…

BLF invites bids for $1.5bn EM equity mandate

BLF invites bids for $1.5bn EM equity mandate Asian Investor November 20, 2018 Jolie Ho   https://www.asianinvestor.net/article/blf-invites-bids-for-1-5bn-em-equity-mandate/448415   Excerpt: Taiwan’s Bureau of Labor Funds is inviting bids for a five-year, quasi-passive emerging markets equity mandate of $1.5 billion to be split equally between five asset managers. The NT$3.94 trillion ($127 billion) state pension manager – a keen…

Illiquidity and Factor Returns

Factor returns are often reported as the average of factor returns among large stocks and the factor returns among small stocks. However, factor returns among small, illiquid stocks are significantly higher than those among larger, more liquid stocks, suggesting that the factor returns in the literature are exaggerated and cannot be implemented with substantial assets.