Asset owners see benefits from Covid working changes
Measures to ensure continuity of investment management have been largely successful, but the situation requires constant monitoring to maintain efficiency, say asset owners.
Asset owners’ implementation of flexible working arrangements, split teams and more home-based working as a result of the Covid-19 pandemic last year could well survive its eventual end, at least in part.
Several institutional investors in Australia, New Zealand and other markets told
AsianInvestor some of the necessary changes they installed have led to operational improvements, although there have also been concerns about the potential corrosion of team culture.
Michael Maduell, president of the Sovereign Wealth Fund Institute (SWFI) told
AsianInvestor that INA should embody three main characteristics to minimise any risk of corruption: independence from the presidency; good corporate governance “including a strong board of directors that declare any conflicts of interest”; and audited financials made available to the public “from a qualified auditor .
According to plans announced by the ministries of finance and state-owned enterprises, which are establishing the fund, INA will likely fall short of Maduell’s preferred standards. HHP Law Firm, the local entity of international law firm Baker McKenzie, said in a report the SWF would be established “as a 100% government-owned legal entity…[and] be responsible directly to [Indonesian] President [Joko Widodo] .
ABL Life sets sights on Australian real estate
The Korean insurer plans to “reshuffle” its property allocations in terms of geography and has particular preferences over its external manager partners.
South Korean insurer ABL Life is keen to ramp up its real estate investments and has set its sights on Australia as its preferred investment destination, in part because of the country’s favourable regulatory policies.
“We will be focusing on real estate, and we aren’t hesitant to expand real estate investments at this stage. Most Korean investors focus on, for example, the US, UK, Germany and other western European countries. But we re different. We ll be focusing on Australia,” Eoh Jiroo, ABL’s head of infrastructure and real asset investments, told
Artificial intelligence tools can help investors assess company emissions and identify those overstating their sustainable credentials, argues Ping An Insurance.
JAPAN
Dai-ichi Life Insurance decided to make an impact investment of ¥100 million ($960,540) in Metcela, a Japanese startup engaging in the development of regenerative medicines for patients with chronic heart failure.
This investment is part of the company’s ESG investment programme. According to its latest annual report, the insurer aims, by 2023, to double its total ESG investments from ¥1.37 trillion ($13.16 billion) in 2019. Dai-ichi Life had ¥36.8 trillion in total assets as of September 2020.
KOREA
The National Pension Service committed a total of $450 million to two North America-focused funds launched by Stonepeak Infrastructure Partners and Macquarie Infrastructure Partners.
New York-based Stonepeak got $250 million from the South Korean state pension scheme last year, while Australia-based Macquarie received $200 million.