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

New broker committee to launch in 2020
The London and International Brokers’ Association (LIIBA) is to launch a new committee in 2020, the Broker Placing Committee (BPC). The BPC will repl
Swiss Re agrees to sell ReAssure to Phoenix Group
Swiss Re announced today an agreement to sell its subsidiary ReAssure Group plc to Phoenix Group Holdings plc. As part of the agreement, which values
Financial advice can help savers avoid over caution
Attitudes to risk vary dramatically from one person to another, but new research from pension and investment provider Aegon has found that financial a

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.