UK asset manager body rejects FRC’s proposed stewardship definition

first_imgThe IA has suggested the definition be reworded to state that “stewardship involves the responsible allocation and active oversight of assets by different actors across the investment chain to generate sustainable value for beneficiaries. Effective stewardship should lead to long-term benefits for society and the economy.”Sustainable value meant sustainable over relevant time horizons for beneficiaries, which were both short and long term, the IA said.The association said this definition respected asset owners’ and asset managers’ fiduciary duty but also recognised “the interdependence between good stewardship and benefits to society and the economy over the long term”.Index investing and stewardshipThe association also argued that the draft code was biased towards active management.“It assumes that good stewardship can only be achieved by active management, when in fact stewardship forms an essential component of both index and active management strategies,” it said. The draft code did not place enough emphasis on investors communicating the impact of their stewardship – as opposed to policies and processes – and certain provisions “conflated” the roles and responsibilities of asset managers and asset owners, the IA said.“This may deter asset owners from becoming signatories to the code,” it added.However, the association welcomed the overall direction of the changes, including the intention to set more demanding expectations on asset owners, its extension to cover more asset classes, and the aim to explicitly reference environmental, social and corporate governance factors.Andrew Ninian, director of corporate governance at the IA, said: “Unfortunately, the implementation of the new code falls short on several key areas that are crucial to building a better stewardship market.“If these concerns are not addressed, then they will hamper the development of a stewardship market that delivers for savers and investors as well as for the wider economy.”Asset owner ‘resource’ concernsThe UK’s pension fund trade body said it supported the general shift in approach in the proposed code and the move to pitch it at “a more stretching level”, but warned that it could deter asset owners from becoming signatories.The Pensions and Lifetime Savings Association suggested this would be because of concerns about “the resource implications of full compliance” rather than a lack of support for and application of the existing code’s provisions.“We believe that a way should be found to encourage asset owners to express their support for, and commitment to, the aims of the Stewardship Code which also allows for the resource constraints of many schemes and acknowledges that schemes often delegate activity on stewardship issues to their managers,” it said.The FRC, which oversees the Stewardship Code, is due to be replaced by a new body called the Audit, Reporting and Governance Authority. The definition of stewardship proposed by the UK’s Financial Reporting Council (FRC) conflicts with asset managers’ and asset owners’ fiduciary duty, according to the country’s asset management trade body.The Investment Association (IA) said the way the FRC defined stewardship in its updated Stewardship Code would “hinder rather than promote the development of an effective market for stewardship”.The IA suggested that with “careful redrafting” this and a few other shortcomings could be rectified to allow the code to deliver on expectations.In the draft 2019 stewardship code, stewardship is defined as “the responsible allocation and management of capital across the institutional investment community, to create sustainable value for beneficiaries, the economy and society”.last_img read more

James McArthur: Crystal Palace boss Alan Pardew doesn’t get credit he deserves

first_img Pardew marked his one-year anniversary as Palace boss with a 3-0 defeat to Chelsea on Sunday but the loss was a small blotch on an otherwise remarkable 12 months. When Pardew took over, the Eagles were 18th in the table and without a win in eight league games but he steered them to a 10th-place finish. They now sit seventh, with an outside chance of securing Champions League football. “It wasn’t really like us,” McArthur said. “We didn’t stay in the game or do things we normally do. We made it too easy for Chelsea. We’re disappointed with the way we played. “It was one of my worst games for Palace. We need to move on and I need to move on fast. Just on the ball, not good enough, off the ball a couple of times they ran off me and got chances. “I’m obviously disappointed, everyone is really down.” It was the third consecutive match Palace have failed to score in as Pardew’s side again missed the attacking threat of Yannick Bolasie, Dwight Gayle and Connor Wickham, who are all injured, and Yohan Cabaye, who was suspended. The Eagles are keen to add creative reinforcements in the transfer window but McArthur believes the side will also improve when key players return. “Anywhere in the team you welcome additions. It’s competition for places and we need to be making good performances every week and by making more additions we’ll do that,” McArthur said. “As a team we also need to do more going forward. You look at any team in the league and you take two of the top performers out – if you took Costa and Willian out of Chelsea they would look a different side as well. “We’ve got Yannick coming back soon, Gayle, Cabaye – if you look at the names I’ve just mentioned they’re big names for the club.” Palace face Southampton in the FA Cup third round on Saturday in a repeat of last year’s fourth-round tie when the Eagles won 3-2. “It’s a really big game for us, we want to do well in the cup competitions,” McArthur said. “We need to take confidence from the win last year. We’ll pick ourselves up this week and be ready to go again.” Crystal Palace midfielder James McArthur hopes Alan Pardew’s success continues to go under the radar as he fears bigger clubs may soon come calling for the Eagles manager. Press Association Uncertainty continues to surround the managerial positions at Chelsea, Manchester United and Manchester City but reports suggest those clubs would all overlook the likes of Pardew for a more high-profile name from abroad. McArthur admits the former Newcastle boss does not get the credit he deserves in England but is happy for that to remain the case if it means he stays at Selhurst Park. “He’s been unbelievable,” McArthur said. “To come in when the club were in a relegation battle, and not looking great to be honest, he’s turned it around and made a really good side. “He probably doesn’t get the credit he deserves but that’s probably a good thing for Crystal Palace. “We don’t want him to get too much credit and start getting linked with big jobs. “I’m not really concerned about that because he’s a great manager for Crystal Palace and we want him to stay here as long as he can.” Palace struggled to keep pace with Chelsea on Sunday as Oscar, Willian and Diego Costa sealed a comfortable win for Guus Hiddink’s side. last_img read more

Economy Housing Continuing on Slow Track to Normal

first_imgEconomy, Housing Continuing on Slow Track to ‘Normal’ Agents & Brokers Attorneys & Title Companies Fannie Mae Home Prices Home Sales Investors Lenders & Servicers Mortgage Rates Processing Purchase Loans Refinance Service Providers 2013-06-13 Tory Barringer June 13, 2013 485 Views Sharecenter_img While fiscal headwinds have held back economic growth for the first half of 2013, “”Fannie Mae’s””: Economic & Strategic Research Group maintains in its newest Economic and Housing Outlook that the recovery should pick up the pace as it heads into the year’s second half.[IMAGE]Based on data for Q1 and predicted numbers for Q2, Fannie Mae expects gross domestic product (GDP) to grow at an average 1.8 percent for the first half of the year (2.4 percent growth for the first quarter and 1.2 percent for the second). As fiscal drags wane, however, growth “”should [COLUMN_BREAK]continue to move in the positive direction amid an ongoing recovery in housing, rising household wealth, and expanded energy production.””””At the outset of the year, “”we forecasted””: that 2013 would witness sustainable but below-par growth as the economy begins its transition to more normal levels. Halfway through the year, our view is little changed,”” said Doug Duncan, chief economist for Fannie Mae. “”We expect approximately 2.1 percent growth over the course of 2013, up from the anemic pace of 1.7 percent in 2012. This is consistent with the incremental improvement seen over the past few years but still below the economy’s potential.””GDP growth is expected to push past 2.5 percent in 2014, “”boosted largely by tailwinds from the strengthening housing market,”” Duncan added.As far as housing goes, recent indicators (such as home prices, home sales, and homebuilding activity) show signs of a long-term improvement toward normal levels, Fannie Mae said. In addition, while rising mortgage rates have impacted originations, “”affordability conditions remain high and [rates] should not present a significant obstacle to potential homebuyers.”” in Data, Government, Origination, Secondary Market, Servicinglast_img read more

RIO Genesis Brings on VP for Business Development

first_img December 17, 2014 498 Views Share RIO Genesis Brings on VP for Business Development in Headlines, Newscenter_img Henderson, Nevada-based real estate technology company RIO Genesis Software Solutions, Inc., announced the hiring of industry veteran Jaysen Greenleaf as VP of business development.”I am excited to join the Rio Software Solutions team and also energized about the many new opportunities ahead of all of us on the RIO team,” Greenleaf said.Before joining the team at RIO Genesis, Greenleaf played a major role in helping mortgage default service leader Phoenix Asset Management grow and prosper. He joined Phoenix Asset Management seven years ago, where he held the position of director of client relations and business development for the last four years. In that position, Greenleaf managed new client development and maintained existing client partnerships while still managing a client team with Phoenix.”We are extremely pleased that Jaysen has joined our growing team,” said Michael Krein, CEO of RIO Genesis. “Not only are we gaining a talented, well-respected new member of our management team, through a strategic alliance with Phoenix, both organizations and our clients will benefit from Jaysen’s proven asset management experience, industry knowledge, and numerous contacts.”Krein said he believed the addition of Greenleaf to the team is a “win-win-win situation” for RIO Genesis, Phoenix Asset Management, and their existing and future clients, keeping in line with the “whole consulting” concept of RIO Genesis.”RIO Genesis isn’t simply a technology platform,” Krein said. “Our Affiliate Talent, which is directly tied to our consulting concept, is made up of some of the most well-known, respected, and experienced real estate-related professionals in the industry. Again, this is just one of the many value-added propositions we offer to our growing number of clients.” Movers & Shakers RIO Genesis 2014-12-17 Seth Welbornlast_img read more