Helping Our Clients Access Timely Investment Opportunities

Redington

Tuesday, Dec 22
|   4 mins

10 second summary

  • In Q1 2020, many investors experienced significant declines across their assets due to the rapid onset of the Coronavirus and the subsequent shutdown of the global economy.
  • We were able to research, model and implement an opportunistic investment opportunity within 6-weeks of its announcement across 11 of our clients ($950m assets committed).

What was the problem?

  • In Q1 2020, many investors experienced significant declines across their assets due to the rapid onset of the Coronavirus and the subsequent shutdown of the global economy.
  • Our pension scheme clients were looking for opportunistic investments that could help them get back on-track to meeting their funding objectives.

What was our solution?

  • In response to dysfunctional markets, governments and central banks were rolling out support schemes to keep their economies afloat. One of which was the US Federal Reserve’s support program, TALF (Term ABS Loan Facility), designed to encourage market participants to support certain areas of the credit market.
  • This provided an opportunity for our clients to access the market dislocation premia, provided they acted quickly.
  • Within 6-weeks of the announcement of the TALF program:
    • Our Manager Research team was able to leverage our research experience in the Structured Credit and Securitised Opportunities asset classes to provide a recommendation to clients for managers operating in the space.
    • Our Asset Liability Management team was able to provide modelling for expected returns and risk measures for the asset class.
    • Our Investment Consulting teams were able to communicate and provide this advice to certain clients (where it was appropriate to their strategy) as well as assisting with implementation.

 

What was the outcome?

  • By May 2020, 11 of our clients had invested into TALF funds with a total of $950m assets committed.

What does this mean for you?

  • Our experienced and nimble teams are able to use their understanding of markets and strategy to research, model and implement opportunistic investments in a timely manner.

Want to know more? 

If you would like further information, please contact:

Nick Samuels

Nick Samuels

Head of Manager Research

I lead a talented team who help institutional and wealth management clients around the world allocate to the funds that get them closer to their strategic goals.

Alessia Lenders

Alessia Lenders

Associate

I work closely with my colleagues across the Research team to critically assess ESG integration in all asset classes and source unique and competitive sustainable investing solutions for our clients.

Alice Cain

Alice Cain

Manager Research Assistant

I joined Redington in May 2018, having previously worked in the construction recruitment industry. Having no real experience of pensions and investments prior to joining, it has been a great learning curve. I now work as an Associate Team Assistant within the Manager Research Team, helping a team of great people with an excellent culture.

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