Making Family Wealth Last

Barbara Hauser, a speaker at the marcus evans Elite Summit 2012, on making family wealth last through effective governance. Interview with: Barbara Hauser, Independent Advisor, Barbara R. Hauser LLC.

FOR IMMEDIATE RELEASE

Wealthy families can rarely make their wealth last until the third generation, according to Barbara Hauser, Independent Advisor, Barbara R. Hauser LLC. The main cause of that failure is internal family conflict, she adds, therefore a strong family governance system that includes councils and constitutions is essential in the family office setting.

A speaker at the marcus evans Elite Summit 2012, in Montreux, Switzerland, 30 May – 1 June, Hauser shares best practices for private wealth management from her experiences with wealthy families around the world.

What are the biggest risks to a family’s portfolio?

There are two big risks. One, is if the legal ownership of the various structures is incorrect, and second, is if there is no mechanism to prevent internal family conflict, which can end up ruining the family wealth.

What are the key ideas in your book on family governance?

Someone told me that his favourite part of the book was the emphasis on creating and spreading peace and harmony, so I will take that as a great take-away piece. If a family can learn to communicate openly and have a transparent information process, that will help build trust and harmony within the family.

What is proactive family governance and how can it eliminate risk?

Proactive family governance is to have someone work with the entire family during a quiet time, to prepare for the possibly stormy transition times. It involves creating a governance system for the family to make decisions together. In most cases they decide to form a family council as a governing body, and write a special family constitution with the rules for making decisions.

What do wealth managers overlook?

The very first step, which is often done in a disorganised way, should be to do a very careful audit of ownership, confirming with legal documents exactly what assets are owned, in whose name and where they are located. If that is not done correctly, the rest of the planning will be pointless.

What role do transparency and accountability play?

Those are key words for the governance of the family, family business or office. There is an emphasis on accountability and transparency today, but I would also add participation. Without valid participation, governance work is unlikely to last because there will not be the right buy-in from family members.

Which types of assets will perform well in the coming few years?

Families are hesitant to invest in super sophisticated products or work with the big bankers; that has been a difficult lesson. There is now increasing interest in private equity investments, where they can meet the actual owners of the companies and engage in direct family-to-family investments.

Contact:
Sarin Kouyoumdjian-Gurunlian
Press Manager
marcus evans, Summits Division
Tel: + 357 22 849 313
Email: press@marcusevanscy.com

About the Elite Summit 2012

This unique forum will take place at the Fairmont Le Montreux Palace, Montreux, Switzerland, 30 May – 1 June 2012. Offering much more than any conference, seminar or trade show, this exclusive meeting will bring together esteemed thought leaders in private wealth management and market leading asset and fund managers for a highly focused and interactive networking event. The Summit includes presentations on every aspect of the family office space, from the latest asset allocation trends to building comprehensive technology platforms and managing family dynamics.

For more information please send an email to info@marcusevanscy.com or visit the event website at www.elitesummit.com

marcus evans group – investment sector portal

The Investment Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced. Kindly inform us by sending an email to press@marcusevanscy.com

Finding Growth in Asia amidst the Global Downturn

Dharmakirti Joshi, a speaker at the marcus evans APAC Investments Summit 2012, on finding areas of growth during an economic crisis. Interview with: Dharmakirti Joshi, Chief Economist, CRISIL Ltd

FOR IMMEDIATE RELEASE

Growth in India may currently be slow, but foreign investors can prosper from the healthy medium-term prospects, says Dharmakirti Joshi, Chief Economist, CRISIL Ltd. The economy will soon recover, and those who act now will flourish in the long-term, he adds.

A speaker at the upcoming marcus evans APAC Investments Summit 2012, taking place in Macao, China, 16 – 18 April, Joshi offers his expertise in investing in India’s volatile market during times of global downturn.

How has the eurozone crisis affected India’s economy? Has this altered the behaviour of investors in Asia?

Investor behaviour has been volatile. Since August 2011, rising risks in the eurozone have led to weakening of capital inflows into India. The risk aversion of foreign investors started and resulted in a net outflow of USD 2 billion in the four months after August. The situation then reversed in 2012 and capital inflows into India picked up. This led to almost 13-14 per cent returns from equity markets in January itself. 

The Indian economy has been vulnerable for a while due to rising current account deficit and external shocks of slowing exports, weakening the Rupee. The rising burden of servicing foreign debt of private corporate increased the demand for US Dollars, adding to the weakening of our currency. With the revival of foreign capital flows, the Rupee started strengthening against the US Dollar in 2012.

Should investors be wary of the inflation rates in India?

The economy is slowing down due to stubborn inflation and consequent increase in interest rates. In the current year, inflation and interest rates should moderate and those who invest now can prosper. 

Interest rates have increased over the past year and are now beginning to bite into the economy. Private consumption growth is holding up but investment demand has suffered. On top of that, there is a lack of progress on the domestic policy reform front. The slowing growth and lack of policy reforms are harming India from a domestic point of view.

What is your outlook for the future of the Asian market?

It all depends on what happens in the eurozone, but growth will be sluggish throughout 2012. India is a domestic demand led economy, but its linkages to the rest of the world have strengthened over the last few years.

There will be challenges in the corporate world. Raising money and rolling over foreign debt will become extremely difficult if the eurozone crisis worsens.

Should investors in Asia make use of sustainable and responsible investing?

Sustainable investing is crucial if investors wish to prosper in the long-term. Looking at Indian growth prospects going ahead, India’s seven per cent growth is tremendous compared to the rest of the world. In 2011, the Rupee depreciated and the stock markets were doing poorly, but markets have picked up since January this year and the Rupee too has strengthened, yielding good returns to foreign investors.

Any final comments?

Investors should look into medium- and long- term prospects in India. Now is the time to invest as growth will soon pick up again. A young population, a fast rising middle class and high savings and investment rates create potential for India to sustain high growth rates over the medium run.

Contact:
Stacey Melvin
Journalist
marcus evans, Summits Division
Tel: + 357 22 849 400
Email: press@marcusevanscy.com

About the APAC Investments Summit 2012

This unique forum will take place at The Venetian Macao, Macao, China, 16 – 18 April 2012. Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes presentations on growth despite the global downturn, fuelling investments across the region and increased urbanisation and its corresponding needs.

For more information please send an email to info@marcusevanscy.com or visit the event website at www.apacinvestmentssummit.com 

marcus evans group – investment sector portal

The Investment Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the Summit is a closed business event and the number of participants strictly limited.

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced. Kindly inform us by sending an email to press@marcusevanscy.com

Shifting Towards Fiscal Union in Europe 

Dr. Friedrich Heinemann, a speaker at the marcus evans European Pensions & Investments Summit 2012, on the shift towards fiscal union in the eurozone. Interview with: Dr. Friedrich Heinemann, Head of the Department for Corporate Taxation & Public Finance, Centre for European Economic Research (ZEW)

FOR IMMEDIATE RELEASE

“The eurozone crisis has led to a revolution of European fiscal federalism and the dismantling of fundamental pillars in the fiscal constitution,” says Dr. Friedrich Heinemann, Head of the Department for Corporate Taxation & Public Finance, Centre for European Economic Research (ZEW). We must figure out how to gain back investor confidence.

A speaker at the upcoming marcus evans European Pensions & Investments Summit 2012, Heinemann discusses Germany’s role in the debt crisis and risk management strategies for eurozone members.  

What is Germany’s role in the current eurozone crisis?

We are in the middle of a comprehensive crisis of trust. There is increasing doubt and industrial countries will have to bear the burden of public debt. This lack of confidence is feeding and intensifying itself, becoming hazardous to the eurozone. 

Germany has a very important function in the eurozone debt crisis as it is a stability anchor. The economic situation in Germany is strong, compared to other eurozone countries. Germany has the dynamics to prevent another deep recession.

What does the future of fiscal federalism in Europe hold?

The eurozone crisis has led to a revolution of European fiscal federalism and the dismantling of fundamental pillars in the fiscal constitution.

Prior to the crisis, eurozone member countries were independent and responsible for their own public debt. These rules have been forgotten and we are shifting towards fiscal union and solidarism where we guarantee for each other. This was unavoidable to some extent, but we must be careful, as this guarantee mechanism could create huge disincentives as countries now know that when they enter public debt, others will cover for them.

We have made some big steps towards a fiscal union in Europe, but it has not been perfected. For political reasons, Germany is reluctant as voters do not want to take over the guarantee for Italian debt. 

How can sustainability be achieved in today’s environment?

In order to achieve economic sustainability, we must look towards elements which will stabilise the vicious circle of deterioration and loss of confidence.

By remaining united, Europeans will find a way to stop this negative destructive crisis from escalating. Whenever it became critical in the past, we were ready to make unpleasant decisions, such as the euro umbrella. If necessary, I also expect the European Central bank to activate all of its unlimited instruments. At the end of the day, I believe Europeans will be successful in preventing the crisis from escalating.

Contact:
Stacey Melvin
Journalist
marcus evans, Summits Division
Tel: + 357 22 849 400
Email: press@marcusevanscy.com

About the European Pensions & Investments Summit 2012

Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes visionary presentations and interactive forums on looking beyond volatility to pinpoint innovative investment approaches, modernising risk models and delivering returns in the new era of pension investing.

For more information please send an email to info@marcusevanscy.com or visit the event website at www.epi-summit.com 

marcus evans group – investment sector portal

Complementing our Summit format, the Investment Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the Summit is a closed business event and the number of participants strictly limited.

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced. Kindly inform us by sending an email to press@marcusevanscy.com

North Sea Capital: International Asset Protection

Lauge Sletting of North Sea Capital, an independent private equity adviser at the marcus evans Alternative Investments Europe Summit 2012 and Middle East Alternative Investments Summit 2012, shares his views on asset protection in today’s uncertain economic environment. Interview with: Lauge Sletting, Managing Partner, North Sea Capital

FOR IMMEDIATE RELEASE

It is crucial for investors to ensure asset protection and be aware of future inflation risk and recessions scenarios, says Lauge Sletting, Managing Partner, North Sea Capital. Portfolio diversification will allow investors in the alternatives space to reduce risk and successfully plan for the future, he adds.  

From an independent private equity adviser at the upcoming marcus evans Alternative Investments Europe Summit 2012 and Middle East Alternative Investments Summit 2012, Sletting talks about how investors could benefit from the negative cycle that has arisen from the economic crisis.

How can investors ensure assets are protected in today’s uncertain environment?

Several private equity funds are coming back into the market, but due to the economic climate and debt crises, many investors are reluctant to make any commitments.

For the most part, investors can guarantee asset security by investing in companies with strong market positions and the ability to mark-up prices. Companies that are leveraged appropriately will be able to reduce debt overtime and safeguard assets from inflation.

This is one of the advantages of investing into private equity, as managers are able to control the level of leverage and manage true and inflationary scenarios. Looking at inflation is critical, as we see increasing risk due to the immense money supply that has arisen from debt structuring and the capital issues at national banks. The other advantage of control investing is that private equity managers transform companies to be more profitable and even in a down cycle, add alpha to the returns.

From your perspective, why is portfolio diversification essential?

Growth can come and go in all industries. We have seen this through emerging markets and non-cyclical trends, such as the telecom and Silicon Valley boom. Having a diversified portfolio allows investors to capture a range of developments around the world. Nevertheless, diversification is not only geographic, but also specified to corporate governance and management experience.

There is a high degree of developed corporate governance in Northern Europe, and as a result many organisations in the region are export orientated, benefiting from growth in emerging markets such as Asia and Latin America. Therefore, investing in these companies that have an awareness of diversity would allow investors to benefit from the growth that they are experiencing in emerging markets, instead of investing directly into markets which can prove to be risky.

The major hazards in the alternative investments space today are corporate governance risk, geographic risk and risk in the private equity arena where there are many undeveloped teams. We are seeing many new teams that are not as mature and cohesive as in Northern Europe and the US.

How can investors recognise successful fund managers?

Investors and investment firms alike must be ready to identify successful private equity managers as soon as they create their first fund. For example, our due diligence processes focus on alpha and the added value generated from experienced private equity managers. We are in the position to capture, test and prove that specific managers have generated returns that are better from the general market. Even in the downturn, the managers we have selected have been able to add value to companies by increasing their profit beyond their peers.

What advice would you give to alternative asset class investors today?

Focus on global investing instead of one specific area. Explore investment opportunities in Europe, Asia, Latin and North America in order to achieve a successfully balanced portfolio that focuses on emerging and developed markets. A mix of expansion growth funds and turn around investments as a supplement to a core mid-market buyout portfolio will add to that solidity.

Having the patience to wait for access to the right private equity managers in the market is also crucial. All of these factors together should generate a high, stable private equity return of at least 20 per cent per annum.

Contact:
Stacey Melvin
Journalist
marcus evans, Summits Division
Tel: + 357 22 849 400
Email: press@marcusevanscy.com

For more information please send an email to info@marcusevanscy.com or visit the event websites below:

Alternative Investments Europe Summit 2011: www.aie-summit.com 

Middle East Alternative Investments Summit 2012: www.meai-summit.com

marcus evans group – investment sector portal

Complementing our summit format, the Investment Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

About North Sea Capital

NorthSea Capital, based in Copenhagen, is a leading independent private equity adviser that serves institutional, corporate and high net worth clients including some of the largest Nordic pension funds. Providing investors with access to top tier private equity managers as well as advisory services within the private equity asset class.

www.northseacapital.com

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com

The Better Business Bureau (BBB) keeps tabs on online scams and can give you information about a business before you act. The online world is no different than the real world. If it sounds like you’re getting something for nothing or you’re having one of those “it’s too good to be true” moments, trust your instincts.

BBB Top 10 Scam Warnings

Job Hunter Scams

You must provide bank information or pay a fee to be considered for a job.

Debt Relief and Settlement Services

For big upfront fees they’ll eliminate most or all of your debt.

Work from Home Schemes

Make money assembling items at home or “mystery shopping,” but only after a big investment.

Timeshare Resellers

For big upfront fees, they promise fast action on reselling your timeshare, but have no intention of delivering.

“Free” Trial Offers

It’s free for a while, but you must opt out later to avoid monthly billings.

Rogue Home Repair/Roofers

Huge down payments are required for home repairs that never happen.

Lottery/Sweepstakes Scams

You must pay “taxes” before receiving your big lottery/sweepstakes winnings.

Advance-Fee Loan Scams

You qualify for a large loan but you must pay some upfront fees.

Over-Payment Scams

“I accidentally sent you too much money, would you please wire some back?”

Identity Theft

They’re from a “legitimate” business and need to “confirm” your private information.

The bottom line is when in doubt, check it out – before you make a move. If you think you may have been the victim of a scam, you can file a complaint with the BBB.

The BBB produced an infographic showing the top online scams, check it out by clicking here:

Erik Kaas from Partners Group, an investment management firm at the marcus evans European Pensions & Investments Summit 2012, on prospering from the secondary market.    Interview with: Erik Kaas, Partner, Partners Group

FOR IMMEDIATE RELEASE

Investors are exiting positions at a discount due to changes in the regulatory environment or their portfolio strategy, which is creating immense opportunities for other investors, says Erik Kaas, Partner, Partners Group. “Market players with an integrated approach, proprietary sourcing channels and timely in-house execution capabilities will be able to take advantage of such market cycles,” he adds.

From an investment management firm at the upcoming marcus evans European Pensions & Investments Summit 2012, Kaas discusses how to take advantage of the investment opportunities in the secondary market.

What is your long-term macroeconomic outlook? How can investors be positioned for growth, bearing in mind the continuing weak global economic recovery?

Already in 2009, we forecasted a stagflationary scenario with three to five years of a stagnant economic environment in the Western world, followed by increased inflation at the tail end, which would manifest in the form of asset inflation without classical wage inflation. This led us to adjust our investment strategy accordingly, with a focus on stable businesses in the defensive sectors and inflation-linked asset classes, such as infrastructure and real estate.

Although our forecast in 2009 was right, it was too optimistic. At the end of the day, the European debt crisis can only be solved by solidarity within the eurozone.

The European Central Bank will begin buying up volumes of European bonds from weaker member states, which will result in an unparalleled increase in the capital supply. Financially healthy nations such as Germany or the Netherlands will end up paying for the rescue mission through increased debt levels and higher financing costs, while the whole eurozone will have to cope with asset inflation followed by classical wage inflation in three to five years.

How can investors successfully identify the right assets? How have investing strategies evolved post crisis? 

A global vertical depth approach is essential. Investors must drill down into the sub-sector level and into individual portfolio companies, taking into account valuations, leverage and relative industry and marketing positions to identify defensive, cash-generating companies and assets with strong revenue visibility. This is the tactic for identifying the right assets.

However, investors should not overlook the fact that the current market environment offers attractive opportunities. Many new opportunities are arising from the secondary market when existing investors are exiting positions at a discount because of changes in the regulatory environment or in their portfolio strategy. Market players with an integrated approach, proprietary sourcing channels and timely in-house execution capabilities will be able to take advantage of such market cycles.

What long-term investment strategies could you share?

Investors can prosper by keeping a focus on direct investments, primaries and the purchase of portfolio companies on the secondary market. Investing in this manner provides maximum advantage of market opportunities at a specific stage of the economic cycle.

In addition, we offer the whole range of private markets strategies from private equity to private real estate, infrastructure and private debt which allows investors to choose the most attractive strategy at a given point in time and to benefit from synergies and information advantages.

Contact:
Stacey Melvin
Journalist
marcus evans, Summits Division
Tel: + 357 22 849 400
Email: press@marcusevanscy.com

About the European Pensions & Investments Summit 2012

Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes visionary presentations and interactive forums on looking beyond volatility to pinpoint innovative investment approaches, modernising risk models and delivering returns in the new era of pension investing.

For more information please send an email to info@marcusevanscy.com or visit the event website at www.epi-summit.com

marcus evans group – investment sector portal

Complementing our Summit format, the Investment Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the Summit is a closed business event and the number of participants strictly limited.

About Partners Group

Partners Group is a global private markets asset manager with USD 28 billion under management in private equity, private real estate, private infrastructure and private debt. Over 500 professionals based in 15 offices around the world focus on private markets investments on behalf of an international clientele of institutional investors. Partners Group is listed on the SIX Swiss Exchange with a clear majority owned by its employees.

www.partnersgroup.com

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com

Getting Pension Design Right:
The Guide to Achieving Sustainability 

Keith Ambachtsheer, a keynote speaker at the marcus evans European Pensions & Investments Summit 2012, comments on designing sustainable pension funds for the long-term.  Interview with: Keith Ambachtsheer, Director, Rotman International Center for Pension Management & Founder, KPA Advisory

FOR IMMEDIATE RELEASE

In today’s economic environment, sustainability is crucial. Unfortunately, the traditional Defined Benefit (DB) and Defined Contribution (DC) models cannot achieve this, says Keith Ambachtsheer, Director, Rotman International Center for Pension Management & Founder, KPA Advisory. By looking towards high quality equity investments that yield four, five, or even six per cent, investors will benefit from sustainable cash flows in the long-term.

A keynote speaker at the upcoming marcus evans European Pensions & Investments Summit 2012, 14 – 16 May, Ambachtsheer discusses the need for transparency and sustainability in the pensions marketplace. 

Why does the pension fund system need to evolve and how can this be done?

Keith Ambachtsheer: The market currently expects the two pension models, DB and DC, to do two things: provide affordability of pensions and certainty of pension payments. Realistically, neither one of the models can achieve that. Two separate instruments are required: a long horizon wealth creation instrument and a shorter horizon payment certainty instrument.

Long horizon wealth creation programmes acquire and nurture current and future cash flows. Buying these cash flows is getting cheaper, creating interesting investment opportunities. However, it will not be a prosperous time for those concerned with buying payment certainty, because the rate of interest on ‘risk free’ instruments is very low. We used to believe sovereign debt was risk free, but we are now even questioning that. Investment programmes that focus on short-term payment certainty will struggle, as they will need to redefine what a risk free asset is.

How can we achieve fairness and transparency within the pension system?

Keith Ambachtsheer: Once the pension fund design is right, Chief Investment Officers (CIOs) will have to be able to provide reports on a regular basis and assure participants that the payment certainty system is sound because there is enough money to make the payments, and that the long-horizon investment programme is strong as its investments are yielding four to six per cent with some prospects for growth.

How can pension sustainability be achieved? 

Keith Ambachtsheer: If we want a sustainable pension system, we must design investment instruments that are sustainable. That is obvious. The question is, why has this not been achieved?

To reiterate, traditional DB and DC arrangements are both problematic in design. We expect them to do two things when they can only do one. CIOs must separate long horizon investing from short-term payment certainty investing. Once this has been done, long-term horizon investors will be able to buy great companies yielding four to six per cent and benefit from the prospect that dividends will be inflation-indexed over the longer term. Thus, there will be growth on top of that. Examples are companies such as Procter and Gamble, Johnson & Johnson and Nestle, with their portfolios of recession proof products. These are products that will keep selling, creating a sustainable cash flow in the long-term.

The Dutch are currently leading the way in turning their old pension system into a more sustainable one. They are the ones to watch.

Contact:
Stacey Melvin
Journalist
marcus evans, Summits Division
Tel: + 357 22 849 400
Email: press@marcusevanscy.com

About the European Pensions & Investments Summit 2012

Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes visionary presentations and interactive forums on looking beyond volatility to pinpoint innovative investment approaches, modernising risk models and delivering returns in the new era of pension investing.

For more information please send an email to info@marcusevanscy.com or visit the event website at www.epi-summit.com

marcus evans group – investment sector portal

Complementing our Summit format, the Investment Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the summit is a closed business event and the number of participants strictly limited.

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com

Vision Capital: Prospering in the Canadian Real Estate Market

Jeffrey Olin of Vision Capital, an investment management firm at the marcus evans Private Wealth Management Summit Fall 2011 and Private Wealth Management Summit Spring 2012, on investing in Canadian real estate securities. Interview with: Jeffrey Olin, President & Chief Executive Officer, Vision Capital

FOR IMMEDIATE RELEASE

Investors should not be seduced by yield, says Jeffrey Olin, President & Chief Executive Officer, Vision Capital. “Taking into account the underlying net asset value and regional trends is critical. We analyze from the top down in terms of asset sectors and regions, and from the bottom up in terms of the fundamentals of each company or REIT,” he adds.

Vision Capital, which won the 2011 Number One Best New Fund in Canada award for the Vision Opportunity Fund Limited Partnership II, the 3rd consecutive year a Vision managed fund has ranked amongst the top five funds in Canada will be attending the upcoming marcus evans Private Wealth Management Summit Fall 2011 and Private Wealth Management Summit Spring 2012. Ahead of these Summits, Olin shares his insights into real estate investments and why private wealth managers should consider what Canada can offer.

According to your website, Vision has outperformed in declining and volatile markets. How do you select real estate securities in such market conditions?

Jeffrey Olin: We focus on publicly-traded equity and debt securities in the real estate market. Our principal valuation approach is to consider the net asset value of the underlying real estate, the value of the “bricks and sticks” as compared to the trading price of the securities in capital markets. We pay attention to the net asset value of tomorrow, not today, and the supply and demand fundamentals by region and property type.

We look top down at asset sectors and regions, and bottom up at the fundamentals of each company. This includes the company’s strategies and the strength of its management team.

What has been key to the fund’s success?

Jeffrey Olin: We are not yield driven. The whole world has gone crazy chasing yield and there is a flaw in looking at yield as a valuation metric. I do not know of anyone who has valued any business in any industry based on how much cash flow is being paid out in a period of time, as opposed to how much cash flow is being earned.

The chasing of yields creates distortions in valuation of comparable companies/REITs and we take advantage of that. We look for total return, whether it is generated by yield or capital gains does not matter.

Why should private wealth managers pay more attention to Canada?

Jeffrey Olin: Our focus on Canada is not simply because we live here. The Canadian story itself is pretty powerful. We had 12 years of federal budget surpluses before the recession. One year ago, employment levels surpassed pre-recession highs, and are moving higher. The macroeconomic environment is sound, the banking system is stable, our dollar is quite strong and we are recognized for our commodity strengths. 

We have the best supply and demand conditions in real estate markets that I have seen in 25 years. Canada has single-digit vacancy rates in every property type and region, compared to double-digits in the US. Canadian demand for housing is strong and housing prices are setting record highs, quite a remarkable contrast with the US.

All these factors make Canada and its real estate markets very attractive.

Any final thoughts?

Jeffrey Olin: The asset management business is going to become more about risk management than money management.

All returns are not created equal. We do not necessarily seek to be the highest performing fund, but we aim to be the highest risk-adjusted performing funds.

Contact: Sarin Kouyoumdjian-Gurunlian, Press Manager, marcus evans, Summits Division

Tel: + 357 22 849 313
Email: press@marcusevanscy.com

About the Private Wealth Management Summit

Offering much more than any conference, exhibition or trade show, this exclusive meeting will bring together esteemed industry thought leaders and solution providers to a highly focused and interactive networking event. The Summit includes presentations on unconventional investment strategies, Federal Tax Policy challenges, risk management strategies and the family office governance structure.

For more information please send an email to info@marcusevanscy.com or visit the event website

marcus evans group – investment sector portal

Complementing our Summit format, the Investment Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

Please note that the summit is a closed business event and the number of participants strictly limited.

About Vision Capital

The Vision Opportunity Funds focus primarily on the real estate sector, and invest predominantly in publicly-traded equity and debt securities, with a primary focus on Canada. The Funds: target investments that are expected to outperform on a medium term, risk adjusted basis, can make concentrated investments in the Manager’s best ideas, and utilize a long-short and active investing strategy. The Vision LP II recently received an award at the 2011 Canadian Hedge Fund of the Year Awards at KPMG as the best performing (new) fund. This is the third consecutive year that a Fund managed by Vision was recognized as amongst the top five in Canada. In addition, the Vision LP was the top performing fund in the Scotia Hedge Fund Index in 2010.

For more information: www.visioncapital.com

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-on-one business meetings. For more information, please visit www.marcusevans.com 

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com

Emirates NBD:
Accelerating Middle Eastern Growth amidst the Eurozone Crisis

Gary Dugan, a speaker at the marcus evans Middle East Investments Summit 2011, shares his views on how the eurozone crisis has impacted institutional investors in the Middle East. Interview with: Gary Dugan, Chief Investment Officer, Emirates NBD

FOR IMMEDIATE RELEASE
 
In today’s changing economic market, institutional investors are unaware of the context in which they are investing, says Gary Dugan, Chief Investment Officer, Emirates NBD. The eurozone crisis has been an immense setback to Middle East investors, principally because it has produced uncertainty.

A speaker at the marcus evans Middle East Investments Summit 2011 in Dubai, UAE, 23 – 24 November, Dugan discusses the importance of remaining flexible and patient in unsystematic environments.

How has the eurozone crisis impacted institutional investors in the Middle East?

Gary Dugan: The eurozone crisis is the main setback facing investors in the Middle East, principally because it has produced uncertainty. Institutional investors are unaware of the context in which they are investing, as anything could happen tomorrow.

The financial position of the Middle East, particularly that of Dubai, has dramatically improved, but has recently been put back because of the global credit crunch and European banks withdrawing their capital from the financial markets.

Being flexible and patient in today’s shifting market is crucial. Investors have become extremely short-term and have jumped back into equities in the hope that they will see a rise of five to ten per cent, but have found themselves down three per cent. Many investors have lost small amounts of money too often in this crisis; they must learn to be patient.

Chief Investment Officers should never dismiss specific asset classes due to times being tough. They must remain diversified if they wish to prosper.

Where do the investment opportunities lie in the Middle East?

Gary Dugan: On a five year view, opportunities primarily exist in the equity market. Equity valuations in many parts of the world are low both on an absolute and relative basis; regional equities are very low in comparison to international standards. Yet in the MENA region, economic growth is assured with a high oil price and strong population growth.

In the short-term, investors will face even more challenges set by the eurozone. The Middle East at this point still needs flows of international capital into the market in order to lift valuations and continue to see improvement.

Have investors turned towards more sustainable investment strategies?

Gary Dugan: Unfortunately, while there is a financial crisis occurring, themes such as green investing and sustainability have taken a back seat. To be fair, we are seeing investors become more aware of these approaches and recognising the importance of responsible investing.

What is your outlook for the private banking sector?

Gary Dugan: There is continued growth in the sector as wealth increases across the region. With the Arab Spring this growth will be even more widely spread.

The private banking sector has previously been dominated by international players and we believe that domestic banks will start to take a greater market share, creating immense opportunities in the region. 

Contact: Stacey Melvin, Journalist, marcus evans, Summits Division

Tel: + 357 22 849 400
Email: press@marcusevanscy.com

About the Middle East Investments Summit 2011

This unique forum will take place at the Park Hyatt Dubai, UAE, 23 – 24 November 2011. Internationally acclaimed as the leading event for Middle East institutional investors, the Summit offers much more than any conference, seminar or trade show. This exclusive meeting will bring together esteemed thought leaders in institutional investing and market leading solution providers for a highly focused and interactive networking event. The Summit includes presentations on seizing attractive investment opportunities, gearing up for new regulatory regimes, and securing portfolio performance.

For more information please send an email to info@marcusevanscy.com or visit the event website

marcus evans group – investment sector portal

Complementing our Summit format, the Investment Network – marcus evans Summits group delivers peer-to-peer information on strategic matters, professional trends and breakthrough innovations.

About marcus evans Summits

marcus evans Summits are high level business forums for the world’s leading decision-makers to meet, learn and discuss strategies and solutions. Held at exclusive locations around the world, these events provide attendees with a unique opportunity to individually tailor their schedules of keynote presentations, think tanks, seminars and one-to-one business meetings. For more information, please visit www.marcusevans.com

All rights reserved. The above content may be republished or reproduced – kindly inform us by sending an email to press@marcusevanscy.com