Archive for the 'Ethics' Category

Portfolio Monitoring

Investment managers often have a fiduciary duty to their clients, which means their investment actions must consider the portfolio’s appropriateness in terms of:

  1. the needs and circumstances of the client
  2. the basic characteristics of an investment
  3. the basic characteristics of the overall portfolio

Since each of these factors can change over time, fiduciary duty requires actively monitoring each using a systematic process.

Posted on 4th June 2008
Under: Active Management, Asset Allocation, Ethics, FInancial Planning, Governance, Institutional Investing, Investment Returns, Portfolio Management | No Comments »

It Pays to Be Fair

Meir Statman published a perspectives piece in the May/June 2007 Financial Analyst’s Journal called Local Ethics in a Global World. In it he notes, among other things, the high correlation between Income per Capita and Freedom from Corruption by country. Less corrupt countries have higher per-capita income levels.

Posted on 5th July 2007
Under: Corporate Governance, Ethics, Research | No Comments »