Today, as practitioners continue to navigate the structural shift to an inflationary, higher interest rate investment regime in a volatile, uncertain, complex and ambiguous world, it stands to reason that portfolio strategies must continue to evolve from what worked in the prior “lower for longer” regime. We must think through which portfolio construction strategies remain fit for purpose, which are no longer appropriate, and which new strategies should be adopted. But common wisdom also warns us against throwing the baby out with the bathwater. Prioritising the most important changes to make to investment objectives, asset allocation, currency management, manager selection and blending, and risk management is key – because you can do anything, just not everything!

We are at a critical turning point in human history as developments in the field of artificial intelligence revolutionise the ways in which people work, learn and play – to the same extent that the printing press, steam engines, electrification, telephones, television, computing and the internet changed the world. While the integration of AI promises radical productivity improvements across a range of activities, concerns are growing that such technologies will exacerbate social inequality, the spread of misinformation, and financial volatility, to name just a few. And then there is the “known unknown” risk of so-called singularity in which AI surpasses human intelligence.

Some 20 years ago, the Forum stood out from the crowd by arguing that the “Turbo of Technology” was one of five megatrends that would shape portfolio construction for decades to come. It’s hard to remember, but Google was just a baby! But it seems we ain’t seen nothing yet. Not only has the Turbo of Technology arrived, a ludicrous exponential curve is upon us. Technology is more than one of five Megatrends – it is THE megatrend! Investment fund managers, service providers and practitioners must understand the risks and opportunities associated with the unfolding evolution of technology and AI, and take specific action relevant to multi-asset, multi-manager investment portfolio construction. Doing nothing is not an option!

Three gigantic, global, interconnected risks have the potential to upend the world as we know it. Investors who understand these will be better positioned to successfully navigate the uncertainty plaguing our world.

The primary criticism directed at those who think about the future is that it's an act of futility. But thinking about how the future may unfold has proven to be a useful way to make decisions amidst radical uncertainty.

Private Equity pooled returns have been attractive while also less volatile than investing in a single fund or fund-of-funds. Enabling investors to "buy the private market" would complement portfolios just like in public markets.

This is Part Two of our annual three-part Strategies Conference Investment Committee hypothetical.

The Investment Committee (our Strategies Conference delegates) has appointed an independent consulting firm to provide a robust and transparently determined and documented global economic outlook for the next three years, using a scenarios-based economic modelling philosophy. In this session, the economists summarise and debate three plausible, forward-looking economic and market scenarios that have a reasonable probability of occurring during the next three years.

Then, the economists and a diverse panel of asset class experts debate the implications of the three economic scenarios for medium-term (three-year) asset class returns.

Following the panel discussion, the Investment Committee members (Strategies Conference delegates) vote on the likelihood of each of the three scenarios, to determine which is most likely, next most likely and least likely. The outcome is then an input to into the Asset Allocation Roundtable 2023, Part Three of our Investment Committee hypothetical.

This is Part Three of our annual three-part Strategies Conference Investment Committee hypothetical.

The inputs from the Economic Scenarios & Asset Class Outlook Roundtable are used to determine a neutral asset allocation for a hypothetical portfolio.

Our Investment Committee (Strategies Conference delegates) then determines the dynamic asset allocation by voting separately on whether to underweight or overweight the various asset classes.

Our panel then debates the optimal implementation of the DAA, with reference to investment styles, duration, credit, and listed/unlisted assets, among other considerations.

Three gigantic, global, interconnected risks have the potential to upend the world as we know it. Escalating US-China war, the rapid acceleration of artificial intelligence, and challenges to the US dollar’s reserve currency status will define the geopolitical, technological, and economic landscape in coming decades. Yet each risk is accompanied by tremendous opportunity. Investors who understand a wide range of potential outcomes for ambiguous developments will be better positioned to successfully navigate the uncertainty plaguing our world.

Part 3 draws together the threads of Strategies Conference 2023, in a debate on the key takeouts from this year’s program and the actions that practitioners can take to mitigate global risks and take advantage of the accompanying opportunities in multi-asset, multi-manager portfolios.

Strategies Conference 2023 "You can do anything, just not everything!" will challenge and refresh your portfolio construction thinking by debating contemporary and emerging portfolio construction strategies, to help you build better quality portfolios. Join us Wed-Thu 23-24 August 2023 at the live studio, a live site or via live stream.

This is Part One of our annual three-part Strategies Conference Investment Committee hypothetical. Our
independent consulting firm has provided a global economic outlook for the next three years, using a scenarios-based economic modelling philosophy.

The Evergreen Asset Allocation Committee Meeting Aug 2023 (17 Aug 2023) has been assessed and accredited by Portfolio Construction Forum for Continuing Education (CE/CPD) hours. Delegates must confirm their attendance in order to receive CE/CPD accreditation.

The Platinum Japan Fund in Focus Webinar (08 Aug 2023) has been assessed and accredited by Portfolio Construction Forum for Continuing Education (CE/CPD) hours. Delegates must confirm their attendance in order to receive CE/CPD accreditation.

The Platinum Japan Fund in Focus Webinar Aug 2023 (on demand) has been assessed and accredited by Portfolio Construction Forum for Continuing Education (CE/CPD) hours. Those who attend online on-demand must complete a CE Quiz to receive CE/CPD accreditation.

The Lonsec Managers in Focus Aug 2023 (02 Aug 2023) has been assessed and accredited by Portfolio Construction Forum for Continuing Education (CE/CPD) hours. Delegates must confirm their attendance in order to receive CE/CPD accreditation.

The Baillie Gifford "Finding growth that lasts" Webinar (01 Aug 2023) has been assessed and accredited by Portfolio Construction Forum for Continuing Education (CE/CPD) hours. Delegates must confirm their attendance in order to receive CE/CPD accreditation.

For the first two decades of their life, hedged funds produced outstanding returns on average. For the past 20 years, it's not been so good. In this Spotlight, we review the reasons why, and whether there are any hedge funds worthy of inclusion in portfolios.

The Mercer Global Investment Forum 2023 (25 Jul 2023) has been assessed and accredited by Portfolio Construction Forum for Continuing Education (CE/CPD) hours. Delegates must confirm their attendance in order to receive CE/CPD accreditation.

Strategies Conference will challenge and refresh your portfolio construction thinking by debating contemporary and emerging portfolio construction strategies, to help you build better quality portfolios. Today, as we continue to navigate the structural shift to an inflationary, higher interest rate investment regime in a volatile, uncertain, complex and ambiguous world, it stands to reason that portfolio strategies must continue to evolve from what worked in the prior "lower for longer" regime. But, common wisdom warns us against throwing the baby out with the bathwater. Prioritising the most important changes to make to investment objectives, asset allocation, currency management, manager selection and blending, and portfolio risk management is key – because you can do anything, just not everything!

The Evergreen Asset Allocation Committee Meeting Jul 2023 (20 Jul 2023) has been assessed and accredited by Portfolio Construction Forum for Continuing Education (CE/CPD) hours. Delegates must confirm their attendance in order to receive CE/CPD accreditation.

The Mercer Investment Update for Advisers Webinar (18 Jul 2023) has been assessed and accredited by Portfolio Construction Forum for Continuing Education (CE/CPD) hours. Delegates must confirm their attendance in order to receive CE/CPD accreditation.