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The Relevance of Index Funds for Pension Investment in Equities

The Relevance of Index Funds for Pension Investment in Equities
Author: Ajay Shah
Publisher: World Bank Publications
Total Pages: 40
Release: 2000
Genre: Fondos de pensiones
ISBN:

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The case for index funds is predicated on the observed inability of active managers to outperform market indexes over long periods. Agency conflicts between investors and fund managers are another important motivation, as index funds benefit from simple, unambiguous accountability.


Index Funds

Index Funds
Author: Will McClatchy
Publisher: John Wiley & Sons
Total Pages: 242
Release: 2002-12-11
Genre: Business & Economics
ISBN: 0471448346

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A comprehensive look into the world of index funds from the top name in the business Index funds are a growing segment of the investing world, due in part to their higher average returns and a virtual certainty of achieving target index. An Insider's Guide to Index Funds fully describes the ins and outs of this investment tool that gives investors the benefit of individual stocks and lower costs associated with mutual funds. The scope of this guide includes everything from a description of various index funds to building a sensible fortfolio to saving on taxes to the risk associated with index funds. Seasoned veterans as well as novices will benefit from the depth of knowledge and proven advice that only Indexfunds.com can provide.


Invest Like an Institution

Invest Like an Institution
Author: Michael C. Schlachter
Publisher: Apress
Total Pages: 217
Release: 2013-08-20
Genre: Business & Economics
ISBN: 1430250593

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"In Invest Like an Institution, Michael C. Schlachter reveals that investors looking to boost the returns on their retirement funds without taking on added portfolio risk can do so if they adapt the strategies of one of the few categories of players in the investment arena that consistently outperforms the market: large institutional investors."--Publisher's website.


The Vanguard Retirement Investing Guide

The Vanguard Retirement Investing Guide
Author: Vanguard Group of Investment Companies
Publisher:
Total Pages: 262
Release: 1996
Genre: Business & Economics
ISBN: 9780786305025

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"In the book you will find worksheets that offer you a step-by-step guide to help you determine how much you should be saving, depending on your unique goals; and case studies that provide a framework for diversifying your portfolio - from asset allocation to mutual fund issues to implementing your program." "User-friendly software - The Vanguard Retirement Planner - offers colorful graphics, informative tutorials, and clear instructions to help you build your retirement plan quickly and easily. With a few keystrokes in The Planner, you'll get specific, personal answers to your questions! You can set specific retirement income goals; calculate your current retirement outlook; create different "What if?" scenarios by adjusting variables such as savings contributions, investment returns, and age at retirement; allocate your retirement assets among stocks, bonds, and cash equivalents; and discover how your model portfolios would have done during virtually any period since 1926."--BOOK JACKET.Title Summary field provided by Blackwell North America, Inc. All Rights Reserved


Investing for Retirement

Investing for Retirement
Author: Virginia B. Morris
Publisher: Lightbulb Press, Inc.
Total Pages: 39
Release: 2011-01-10
Genre: Business & Economics
ISBN: 0982907532

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This guide explains the challenges, and some suggestedapproaches, for investing and planning to have enough money to fund acomfortable retirement.


Do Investment Regulations Compromise Pension Fund Performance?

Do Investment Regulations Compromise Pension Fund Performance?
Author: Pulle Subrahmanya Srinivas
Publisher: World Bank Publications
Total Pages: 56
Release: 1999-01-01
Genre: Business & Economics
ISBN: 9780821344880

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" "Draconian" regulations have created distortions in asset management, limited opportunities for diversification, and, as a consequence have hampered, the performance of pension funds." This volume shows that the return to retirement assets, expected replacement rates, and, hence, the net welfare gain from pension reform is lower under a draconian regulatory framework than under a more liberal pension fund investment regime. Important policy conclusions of the paper are that existing regulatory regimes should be liberalized as soon as possible to allow pension fund investments in a wider array of financial instruments and that regulations should require evaluation of pension fund performance against market benchmarks as opposed to exclusive focus on comparisons with industry averages. The paper also suggests a review of the current structure of the private pension fund industry in Latin America and an evaluation against alternatives in the light of actual performance experience.


Investing in Pension Funds and Endowments

Investing in Pension Funds and Endowments
Author: Russell L. Olson
Publisher: McGraw Hill Professional
Total Pages: 431
Release: 2003-02-22
Genre: Business & Economics
ISBN: 0071425624

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On the heels of Enron and other high-profile debacles, the performance of pension fund managers is one of today's hot-button topics. Investing in Pension Funds and Endowments provides tools and guidance for managers to operate prudently while achieving the high rates of return required for successful longterm asset growth. This accessible how-to reference covers all aspects of tax-free investing for pension funds, endowments, trusts, and foundations.


Mutual Funds and Institutional Investments

Mutual Funds and Institutional Investments
Author: Estelle James
Publisher: World Bank Publications
Total Pages: 65
Release: 1999
Genre: Administrative Costs
ISBN:

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Abstract: One of the biggest criticisms leveled at defined contribution individual account (IA) components of social security systems is that they are too expensive. This paper investigates the cost-effectiveness of three options for constructing funded social security pillars: 1) IA's invested in the retail market with relatively open choice, 2) IA's invested in the institutional market with constrained choice among investment companies, and 3) a centralized fund without individual accounts or differentiated investments across individuals. Our questions: What is the most cost-effective way to organize a mandatory IA system, how does the cost of an efficient IA system compare with that of a single centralized fund, and are the cost differentials large enough to outweigh the other important considerations? Our answers, based on empirical evidence about mutual and institutional funds in the U.S.: The retail market (option 1) allows individual investors to benefit from scale economies in asset management, but at the cost of high marketing expenses that are needed to attract and aggregate small sums of money into large pools. In contrast, a centralized fund (option 3) can be much cheaper because it achieves scale economies without high marketing costs, but gives workers no choice and hence is subject to political manipulation and misallocation of capital. Mandatory IA systems can be structured to get the best of both worlds: to obtain scale economies in asset management without incurring high marketing costs or sacrificing worker choice. To accomplish this requires centralized collections, a modest level of investor service and constrained choice. The system of constrained choice described in this paper (option 2) is much cheaper than the retail market and only slightly more expensive than a single centralized fund. We estimate that it will cost only .14-.18% of assets annually. These large administrative cost savings imply a Pareto improvement so long as choice is not constrained too much.'


The Pension Fund Revolution

The Pension Fund Revolution
Author: Peter F. Drucker
Publisher: Transaction Publishers
Total Pages: 245
Release: 1992
Genre: Business & Economics
ISBN: 1560006269

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In The Pension Fund Revolution, originally published nearly two decades ago under the title The Unseen Revolution, Peter F. Drucker reports that institutional investors, especially pension funds, have become the controlling owners of America's large companies, the country's only capitalists. He maintains that the shift began in 1952 with the establishment of the first modern pension fund by General Motors. By 1960 it had become so obvious that a group of young men decided to found a stock-exchange firm catering exclusively to these new investors. Ten years later this firm (Donaldson, Lufkin & Jenrette) became the most successful, and one of the biggest, Wall Street firms. Drucker's argument, that through pension funds ownership of the means of production had become socialized without becoming nationalized, was unacceptable to the conventional wisdom of the country in the 1970s. Among the predictions made by Drucker in The Pension Fund Revolution are: that a major health care issue would be longevity; that pensions and social security would be central to American economy and society; that the retirement age would have to be extended; and that altogether American politics would increasingly be dominated by middle-class issues and the values of elderly people. While readers of the original edition found these conclusions hard to accept, Drucker's work has proven to be prescient. In the new epilogue, Drucker discusses how the increasing dominance of pension funds represents one of the most startling power shifts in economic history, and he examines their present-day impact.