Bedrock investments liberate a portfolio’s capacity to take risks in a post-pandemic landscape

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The stable core of a portfolio consists of ‘bedrock investments’. Their role is to generate stable, consistent returns over time. Ideally, the returns are not correlated to the returns of the risky asset. With this stabilising force, the portfolio can then take greater levels of risk in its growth asset allocation. Traditionally, fixed income instruments

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Fund being used by Asian and European family offices to unlock investment paralysis

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The struggles of fixed income instruments during the height of the pandemic in March and April 2020 raised questions about the widely accepted notion of negative correlation between bonds and equity. Without fixed income instruments performing as the safe bedrock of portfolios, investment decision making processes at family offices seized up as markets offered little

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Life settlements are resold insurance policies and can be understood as financing to individuals backed by that person’s life insurance policy

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“Be like water … If you put water into a cup, it becomes the cup.” – Bruce Lee . While Bruce Lee is a strange source for fixed income strategies, his advice is apt for our low interest rates environment. Paraphrasing – “when rates are low, become the bank.” How so? Interest rates will continue

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ESG principles respected by life settlements industry

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ESG principles have become mainstream in funds management and the Laureola life settlements fund, now in Australia, is no exception. “We follow the principles behind ESG in our dealings with insureds who wish to sell us their life insurance policies in the USA. Typically, Laureola and other investors offer a 2-4 times higher payout for

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Non-correlated assets are hard to find

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The question for many about negative correlation is that it works until it does not work. Sadly, everything seems to go down together in a major market downturn – the very outcome investors want to avoid by investing in Alternatives. As we have seen in major market meltdowns, all asset classes fall in unison. This

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Bermuda-based fund investing in US life insurance policies launches in Australia

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Laureola has launched its Life Settlements Fund into the Australian market. “The underlying assets are US life insurance policies and everyone knows how life insurance works and why there is a guaranteed pay-out from the Life Insurance Company. There’s room for growth: the US life insurance market is currently USD 20 trillion,” said Tony Bremness,

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