/

Nematrian Reference Library

[this page | back links]

Set out below is information (held by the Nematrian website) on the reference you have selected


ReferenceTitleLink
Ma, W. and Pirone, J. (2014)Investment Insights: Alternatives and Liquidity: Incorporating Liquidity Constraints into Portfolio Constructionhere

Executive Summary (partial)

"Many institutional investors with long time horizons have been increasing allocations to alternatives, particularly illiquid investments. We would agree that illiquid investments are an important part of the overall opportunity set of an appropriately diversified portfolio. However, the financial crisis has highlighted how critical it is for investors to account for the increased liquidity risk in their asset allocation framework and the way it could affect the overall portfolio – from the impact of capital calls to the extreme possibility of insolvency.

In this paper, we develop key insights into how liquidity risk is manifest in illiquid investments, and guidelines to help manage that risk within the overall portfolio construction process …"


See here to choose a new Category/Sub-Category or here for a list of all references held by the Nematrian website. Please contact us if any of the above material is inaccurate or if there are references you think should be included that we have excluded or vice-versa.
Desktop view | Switch to Mobile