Investment - Articles - Neil Woodford and illiquid assets


Celene Lee, Principal and Senior Investment Consultant at pensions and employee benefits consulting firm, Buck, comments:

 “The decision by Kent County Council pension fund to withdraw its £236m investment mandate from the Woodford Equity Income Fund has had damaging consequences, not just for Neil Woodford, but for the fund management industry as a whole. This week’s developments highlight the importance of having a regulatory portfolio cap on investing in illiquid assets. However, it’s important to realise that investing in these assets is not, and should not, be considered as unnecessarily risky.

 Illiquid assets can help investors meet their long-term investment strategy, and also provide potentially higher returns and diversification of their investment portfolio. Clearly, getting the balance right between illiquid and easy-to-sell assets is vital, but for investors who fully understand their investment objectives and appreciate the market and the risks involved, illiquidity should not be a dirty word.”
  

Back to Index


Similar News to this Story

Pledge to progress as £11bn invested in productive assets
The insurance and long-term savings industry is making positive progress towards its pledge to invest £100 billion into assets which contribute to eco
Changing aims of pensions drive interest in hedge funds
Aon has said that market volatility and wider macro-economic uncertainty is driving a surge in hedge fund investment from UK defined benefit (DB) pens
Bulls come out to play as earnings season moves up a gear
FTSE 100 climbs back above 9,000. BP to sell US wind assets. Reckitt agrees to sell Essential home for $4.8bn. US stocks reach record highs again. St

Site Search

Exact   Any  

Latest Actuarial Jobs

Actuarial Login

Email
Password
 Jobseeker    Client
Reminder Logon

APA Sponsors

Actuarial Jobs & News Feeds

Jobs RSS News RSS

WikiActuary

Be the first to contribute to our definitive actuarial reference forum. Built by actuaries for actuaries.