Forum Fodder - Quarterly CE Alert!

Quarterly CE Alert! | June 2021
Our quarterly CE Alert! highlights our upcoming live continuing education programs, and all of the complimentary on-demand CE/CPD-accredited resources we’ve published over the past few months.

• The CE/CPD hours you earn can be used to help meet the CE/CPD requirements of 20 governing bodies (regulators, associations, and institutes), including ASIC, APRA, FASEA, AFA, FPA and CIMA CE/CPD requirements, to name a few.

• You can access your CE/CPD certificates via your complimentary Forum MyCE record where you can store, view, print and export your CE/CPD 24/7 earned via the Forum - as well as any CE/CPD hours you have earned from learning activities hosted our CE Accreditation Partners.

• Did you know you can now also upload any other CPD you earn (i.e. non-Forum accredited) to your Forum MyCE record so it becomes your “source of truth” learning record store of all your CE/CPD?

All the best for the next step in your continuing education - Graham

Philosophy

Portfolio Construction Forum All Things Considered Zoominar | AEST 10am-12pm, Fri 25 Jun 2021
All Things Considered will challenge your portfolio construction beliefs, helping you identify which remain valid and which require new thinking, to inform your investing knowledge, beliefs and behaviours and help you build better quality investor portfolios.
Attend via livestream | 2.00 CE | Mark Your Diary! Registration will open soon

Strategies

Portfolio Construction Forum Strategies Conference 2021 “The end justifies the means” | AEST Wed-Thu 25-26 Aug 2021
Portfolio construction is only “successful” when it helps clients achieve their financial goals. Yet delivering on those goals – be it financial independence or, at the very least, a reasonable standard of living in retirement – is more challenging than ever. The 20th annual Strategies Conference will challenge and refresh your portfolio construction thinking, as we debate strategies to help build better quality investor portfolios, capable of achieving client goals out into the future.
Attend live in-studio, at a hosted live-site, or via livestream | 12-20 CE | Mark Your Diary!

Finology

Finology Summit 2021 “Behavioural FINance and investor psychOLOGY” | AEDT Wed 13 Oct 2021)
Established in 2016, Finology Summit is THE behavioural finance (“fin”) and investment psychology (“ology”) program of the year. The program features an exceptional Faculty of experts from around the world, each offering their best high conviction ideas on behavioural finance and/or investor psychology, and the investment implications. Finology knowledge and skills help us better identify and understand how our own and other people’s different investing biases, beliefs and behaviours impact investment markets and portfolio construction practices - and therefore, investment outcomes - to enable better quality investor portfolios.
Attend live in-studio, at a hosted live-site, or via livestream | 7-11 CE | Register now!

Markets

The Long View: Inflationary riptide or reflationary current?
With a healthy consumer, accommodative policy, accelerating GDP and the potential for herd immunity from Covid-19, the risk of a US inflationary overshoot has increased. We believe any inflation scare, however, will be short-lived.
Jeff Schulze, ClearBridge Investments | 0.50 CE | Read

Philosophy | Markets | Strategies | Investing | As seen at Markets Summit 2021

Back to the drawing board! - Key takeouts
Our diverse panel debated which of the high-conviction propositions they heard at Markets Summit 2021 resonated most strongly, which they disagreed with most - and the portfolio construction implications.
Expert Panel | 0.75 CE | Watch, Listen

Markets | Strategies | As seen at Markets Summit 2021

Be optimistic, but beware - big risks lie ahead
A herculean tug of war between stronger economic growth and higher bond yields will be the defining battleground of 2021 and will be accompanied by violent and rapid-fire recalibrations of relative valuations.
Jonathan Pain, The Pain Report | 0.50 CE | Watch, Listen

Markets | As seen at Markets Summit 2021

China will set the rules of the game; we all must accept that
The US, Australia and their allies have long depended on global “rules of the game” for their major companies and sectors to flourish. Australia and the US will have to accept that China will play an ever greater role shaping these rules.
Ngaire Woods, Oxford University | 0.50 CE | 1 comment | Watch, Listen

Philosophy | Investing

Research Review: A closer look at value investing
Value investing proved to be successful strategy for nearly a century, before experiencing one of its worst performance periods in the last few years. These two papers examine whether implementation or low interest rates are the culprit.
Ron Bird, Australian National University & Portfolio Construction Forum | 1.00 CE | Read

Markets | As seen at Markets Summit 2021

Ignore geopolitics to the peril of portfolios
Portfolio construction practitioners must go back to the drawing board and focus systematically on the constraints facing global policymakers, in order to successfully extract the implications for portfolios.
David Bridges & Marko Papic | 0.50 CE | Watch, Listen

Finology

Research Review: Emotional regulation and financial success
Emotions are an important influence on financial decision-making and investing. These three papers explore how emotional regulation strategies influence decision-making under risk and uncertainty, and the link to financial success.
Rob Hamshar, Portfolio Construction Forum | 1.00 CE | Read

Philosophy | Markets | As seen at Markets Summit 2021

Sustainability is transforming the investment landscape
Believe in sustainable investing or not, investors need to understand its impact on investment returns and portfolio construction as capital markets stand on the cusp of a transformation to an ESG world.
Suni Harford, UBS Asset Management | 0.50 CE | Watch, Listen

Strategies

Research Review: The adequacy of retirement income systems
While the retirement income system is designed to accommodate all individuals, the real test is its adequacy for the poor. These two papers address this issue for both Australia and the US.
Ron Bird, Australian National University & Portfolio Construction Forum | 1.00 CE | Read

Markets | Strategies | As seen at Markets Summit 2021

Don’t be complacent, take advantage of the illiquidity premium
The illiquidity premium offers strong value over the cyclical horizon. A combination of interest rate, credit and illiquidity risks provide diversified fixed income exposures with attractive return potential.
Rob Mead, PIMCO | 0.50 CE | Watch, Listen

Finology

Research Review: The mother of all biases
Investors rely on both their competence and confidence to make investment decisions. The overconfidence effect is sometimes dubbed the “mother of all biases”.
Rob Hamshar, Portfolio Construction Forum | 1.00 CE | Read

Markets | Strategies | As seen at Markets Summit 2021

The world has entered a new investment order
The Covid-19 pandemic has accelerated profound shifts in how economies and societies operate and is transforming macroeconomic policy, geopolitics and sustainability.
Ben Powell, BlackRock | 0.50 CE | Watch, Listen

Investing

Research Review: Does SRI do good?
Many research papers address the investment performance of sustainable investing - few have investigated whether this form of investing actually achieves the intended good. Two papers address that gap.
Ron Bird, Australian National University & Portfolio Construction Forum | 1.00 CE | Read

Philosophy | Markets | Strategies | As seen at Markets Summit 2021

Responsible Investing is the future of financial markets
It’s time to construct portfolios with investment strategies designed to advance humankind towards a global sustainable economy, a just society, and a better world.
John Quealy, Trillium Asset Management | 0.50 CE | Watch, Listen

Finology

Research Review: How investors’ beliefs are shaped by experience
These two papers provide useful insights into how investors’ attitudes and behaviours evolve over time, and how our beliefs are distorted if we experience positive or negative prior returns.
Rob Hamshar, Portfolio Construction Forum | 1.00 CE | Read

Markets | Strategies | As seen at Markets Summit 2021

A portfolio’s cash allocation is dead
Structural factors will ensure that the cash rate cannot rise over the medium term, resulting in negligible cash returns. A core fixed income exposure consisting of Australian government bonds will outperform cash over the long term.
Chris Rands, Nikko Asset Management | 0.50 CE | Watch, Listen

Strategies

Research Review: An analysis of target date funds
Target date funds first became popular as a MySuper option. Leaving aside whether target date funds are a good idea in the first place, what these two papers highlight is a lack of thought in their design.
Ron Bird, Australian National University & Portfolio Construction Forum | 1.00 CE | Read

Markets | Strategies | As seen at Markets Summit 2021

Relevance & resilience - post-COVID portfolios need G-REITs
During 2020, G-REITs experienced a once in a generation demand shock. With new building supply and REIT balance sheets in good shape, G-REITs are well positioned as economies reopen and demand returns. Now is the time for G-REITs.
Julian Campbell-Wood, Resolution Capital | 0.50 CE | Watch, Listen

Finology

Research Review: Probability weighting and investor behaviour
Even armed with objective probabilities to help decision-making, people often add their own subjective “weights”. Two papers explain this “probability weighting” and how it affects investment decisions.
Rob Hamshar, Portfolio Construction Forum | 1.00 CE | Read

Markets | Strategies | As seen at Markets Summit 2021

Get ready for the strongest growth in 50 years
Pent up consumer demand, fiscal stimulus and accommodative monetary policy set the stage for a sharp global recovery. It is back to the drawing board in a high growth environment.
Ron Temple, Lazard Asset Management | 0.50 CE | 1 comment | Watch, Listen

Markets | Investing | Finology

Research Review: The impact of a global pandemic on stock markets
Global financial markets have been reacting to the Covid-19 pandemic since early 2020, providing a unique opportunity for researchers to examine the impact of a global pandemic on uncertainty, investor reactions, and stock prices.
Ron Bird, Australian National University & Portfolio Construction Forum | 1 comment | 1.00 CE | Read

Markets | Strategies | As seen at Markets Summit 2021

US equities valuations are not in a bubble
The consensus view that US equities are in a bubble is overblown. Go back to the drawing board when it comes to your views on US valuations - because this time IS different.
Jeff Schulze, ClearBridge Investments | 0.50 CE | 1 comment | Watch, Listen

Markets | As seen at Markets Summit 2021

High equity valuations are not due to irrational exuberance
Fiscal stimulus and the vaccine have fuelled an extraordinary rally in equities - but, ultimately, stocks are at record highs because of extraordinarily low market interest rates. Investors should be wary of inflation, but also of being underweight equities.
Arvid Streimann, Magellan Asset Management | 0.50 CE | Watch, Listen

Investing

Research Review: Who wins from alternative investing?
High allocations to alternatives are often justified on the basis of return and diversification advantages. Two recent papers show that with private equity and hedge fund, it’s the managers who are the real winners.
Ron Bird, Australian National University & Portfolio Construction Forum | 1.00 CE | Read

Markets | Strategies | As seen at Markets Summit 2021

It’s back to the drawing board on bonds in a 60/40 portfolio
The 60/40 balanced portfolio needs to be “stretched” or redesigned, to mitigate the impact of low yields on overall portfolio risk and return. Investors need to make their equity allocation work harder and consider new diversifiers.
Thomas Poullaouec, T. Rowe Price| 0.50 CE | Watch, Listen

Markets | As seen at Markets Summit 2021

The resource sector has yet to peak
De-carbonisation, company management and ESG scrutiny are diminishing the influence of commodity prices on resources alpha generation. If long term sentiment begins to turn, there is significantly more value to be found in the resources sector.
Nick Pashias, Antares Capital | 0.50 CE | Watch, Listen

Markets | Strategies | As seen at Markets Summit 2021

Private debt is a low risk means to attractive income
With the official cash rate near zero, it’s time to head back to the drawing board to find a more consistent source of income. Private debt provides a compelling alternative source of income in a portfolio.
Andrew Lockhart, Metrics Credit Partners | 0.50 CE | Watch, Listen

Markets | Strategies | As seen at Markets Summit 2021

Equities to rise as we right the wrongs of the post- GFC era
Covid-accelerated trends - including digitalisation, geopolitical tension and the impact of ESG on the cost of capital - are structural and divergence within equity markets could increase.
Crispin Murray, Pendal Group | 0.50 CE | Watch, Listen

Markets | As seen at Markets Summit 2021

Risk must beat reward in post-pandemic supply chains
Supply chain decision makers must continue to focus on mitigating risk in 2021, not maximising growth. Political risks outbalance opportunities.
Chris Rogers, Panjiva Research | 0.50 CE | Read, Watch, Listen

Philosophy | Markets | Strategies | As seen at Markets Summit 2021

Lower carbon will mean more growth
The energy transition has the potential to be as transformative for the world economy and geopolitical landscape as the digital revolution has been since the 1980s.
Chris Iggo, AXA Investment Managers | 0.50 CE | Watch, Listen

Markets | As seen at Markets Summit 2021

Secular stagnation is the wrong narrative
Those who cling to yesterday’s narrative may forego one of the great trades of recent decades as the world shifts to a “global reopening” narrative and away from one of “secular stagnation”.
Julian McCormack, Platinum Asset Management | 0.50 CE | Watch, Listen

Markets | Strategies | As seen at Markets Summit 2021

The time is right for non-daily liquid credit strategies
Rather than accepting lower returns for liquidity, investors should go back to the drawing board and re-assess their need for daily liquidity.
Peter Robinson, CIP Asset Management | 0.50 CE | Watch, Listen

Markets | Strategies | As seen at Markets Summit 2021

Private Equity maximises alpha generating opportunities
Often underrepresented in investor portfolios due to concerns around liquidity, private equity investing with a truly hands-on approach allows active investors to maximise their capital growth potential.
David Leslie, Ellerston Capital | 0.50 CE | Watch, Listen

Investing

Research Roundtable - Colchester Global Government Bonds
This Research Roundtable focused on the Colchester Global Government Bonds strategy, with senior practitioners deciding, after briefings, Q&A and debate, their individual rating for the strategy and whether to include it on a hypothetical APL and/or multi-manager portfolios. Afterwards, the meeting is synthesised and published for on-demand viewing by all members.
Portfolio Construction Forum | 1.50 CE | Read, Watch

Markets

The Long View: Follow the herd?
In the early and middle stages of an economic expansion, running with the herd can be a beneficial and safe proposition. As this recovery unfolds, should investors break off, worried about the formation of a bubble?
Jeff Schulze, ClearBridge Investments | 0.50 CE | Read

Finology

Backgrounder: Finology
Finology - behavioural FINance and investor psychOLOGY - knowledge and skills substantially enhance practitioners’ ability to communicate with clients and manage portfolios more effectively. This Backgrounder seeks to foster a greater understanding of and interest in finology.
Portfolio Construction Forum | 2.25 CE | Read

Finology

Finance for normal people - how investors and markets behave
The first generation of behavioural finance described people as “irrational”, fooled into cognitive and emotional errors that diminish wealth. The second generation of behavioural finance describes people as “normal” - we use shortcuts and sometimes commit errors on the way to satisfying our wants.
Meir Statman, Santa Clara University | 0.50 CE | Read, Watch, Listen

Philosophy | Markets | Finology

Economics has come full circle
Classical economists often incorporated human behaviour into their thinking. But in the 1960s and 1970s, homo economicus - the great rational agent of economic theory - was born. It was not until the 1990s that the link between human behaviour and economics began to be re-established.
Herman Brodie, Prospecta | 0.25 CE | Watch, Listen

Finology

About Finology
Finology is the interesting and unique mix of behavioural finance (“fin”) and investor psychology (“ology”) as it relates to giving investment advice to individual investors.
Graham Rich, Portfolio Construction Forum | 0.25 CE | Watch, Listen

Finology | Invitation to investment advisers

Complimentary self-assessment to benchmark your Client Care & Practice knowledge and skills
FASEA requires that financial advisers continually improve their client care and practice knowledge and skills - doing so makes obvious business sense, as well. Our new Finology Benchmarking Indices (FBI) self assessment tool helps you benchmark your investing biases, beliefs and behaviours versus peers, to further empower your “client care and practice” knowledge and skills. It’s complimentary to our members who give investment advice, while we continue to develop it.
Portfolio Construction Forum | 0.50 CE | Take the FBI self-assessment

Forum CE Library - over 620 CE/CPD accredited learning resources
Complimentary for all Forum members, the Forum’s online on-demand CE Library offers over 620 CE/CPD accredited learning resources, to help members meet the CE/CPD requirements of 20 governing bodies (regulators, associations, and institutes) including ASIC, APRA, FASEA, FMA, AFA, FPA and CIMA^® CE/CPD requirements, to name a few.
Earn CE/CPD hours

Forum CIMA CE Library - over 96 CE hours
This subset of the full Forum CE Library features just those learning resources that are accredited for CIMA CE hours, so CIMA certificants can more easily find learning resources to meet their recertification obligation (at the same time as meeting the CE/CPD requirements of other governing bodies e.g. ASIC, APRA, FASEA, FMA, etc).
Earn CIMA CE hours

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