With the launch by Investment Technology Group (ITG), the US technology-based equity trading services group, of Posit Now, the continuous intraday crossing system for equities into Europe, volume growth in so-called ‘dark liquidity’ is expected to accelerate from current levels during 2007.

Japan’s largest and most influential institutions are leading a “long-awaited push” into electronic equity trading with a strong move into algorithmic trading strategies, according to research by Greenwich Associates.

As the interest in property has risen, so has the importance of diversifying within portfolios. Tim Cooper reports.

The European arm of Principal Global Investors is building its physical presence as it bids to boost institutional assets. CEO Nick Lyster is looking to specialist products as part of a larger expansion into Germany and the UK. Henry Smith reports.

Core fixed income investment mandates, typically benchmarked to the Lehman Global Aggregate index, are “yesterday’s game” according to Nick Lyster, CEO of Principal Global Investors Europe (PGI).

New CIO of Hermes Pensions Management insists the firm originally set up to manage BT’s pension assets is ready to grow its external client base. He speaks to Paula Garrido on its future plans.

With more than £65bn (€98.5bn) of assets under management, Hermes Pensions Management enjoys a privileged position within the UK institutional asset management industry. The company is not only one of the country’s largest fund managers but its owner and main client, the BT pension scheme, is also the UK’s largest pension fund.

The European economy is likely to show continued strength this year, although at more moderate levels than in 2006, supported by economic growth in China and other emerging markets.

The recent resilience of the US economy is most encouraging. Many market observers had assumed that the combination of high energy costs and inventory-build in the housing market would trigger a sharp deceleration of GDP growth in 2007.

Today’s emerging market bonds emerged as an asset class in Latin America in the late1980s/early-1990s when the then Treasury secretary Nicholas Brady nudged a number of countries south of the US to consider voluntary debt restructuring packages.

The Korean market was a laggard in 2006 compared with other Asian markets, especially China and India. Whilst the China A and B share indices more than doubled in 2006 and the H shares index increased by 94 per cent, the Kospi was only up by 4 per cent, while the Kosdaq fell 13.6 per cent, both in Korean Won terms.

The upcoming G7 meeting will most likely put pressure on Japan to reflect economic fundamentals with the yen, writes Neil Mellor.

Henk Radder outlines how the traditional definition of a fiduciary manager may not entirely represent the complicated nature of the relationship and the need for teamwork.

Europe is still considered an exciting place to invest for fund managers, though they are slightly less positive on the UK. Are they also missing out on eastern opportunities? Paula Garrido reports.

It seems that the business world is taking action on environmental, social and governance issues quicker than governments, as it affects their bottom lines, writes William H. Page.

While the European private equity market appears to be following in the footsteps of the US with some very big deals, there remains a certain amount of cynicism in the UK, writes Gerry O’Kane.

More and more institutional investors are deploying liability-driven investment strategies which involve the use of swaps to mitigate risk. Here, Moorad Choudhry explains the factors which influence swap spreads.

WH Smith was a pioneer of LDI in its attempts to save its final salary scheme. However, despite the fund’s forthcoming closure, the firm insists LDI was successful. Simon Hildrey reports.

Lukewarm performance and high fees have led many to question funds of hedge funds. But with the direct route proving logistically difficult and expensive, it may still be the best way into the asset class, although there may be some exceptions. Elizabeth Cripps reports.

As hedge funds make up more than half of the trading volume on major exchanges, prime brokers are getting in on the action. But what attributes must they possess? Elizabeth Cripps reports.

With synthetic hedge funds offering hedge fund-like returns without the high fees, it’s no surprise that investment banks are looking to capitalise on new institutional enthusiasm. Elizabeth Cripps investigates.

With yet another record property sale, investors are clamouring for real estate exposure. And market commentators are not expecting a pull back in prices any time soon. Paul Garrido reports.

In order to gain an edge over the competition in Eastern European equities, WestLB Mellon’s European Convergence Fund created its own index. Paula Garrido reports.

With the proliferation of e-FX trading platforms, many investors are concerned about fragmentation. However, with so many different players entering the market, it could be that it is merely evolving to cater for their individual needs. Tim Cooper reports.

The use of algorithms has seen exponential growth in the last two years, despite still representing a small proportion of total trades in FX. Tim Cooper assesses the current environment.

Despite the growing role of transaction cost analysis in foreign exchange trading, many people use the system poorly due to a narrow outlook. Tim Cooper reports.

When Citigroup announced its fourth quarter results, most of the media comment focused on relatively poor results from the corporate and investment banking business. In spite of higher revenues of 14 per cent, net income declined by the same amount brought on by higher costs.

Ucits regulations were originally designed to harmonise fund structures in Europe and facilitate moving funds around the EU. However, a reputation for being backed by solid regulation, innovative features and product flexibility has grown globally, and in Asia, where there is a strong tradition of investing, and where investors are looking to invest outside their national borders, there is a growing appetite for the ‘Made-in-Europe’ Ucits vehicles.

Hedge fund administrators are offering tailored solutions for long-term partnerships, but many of the larger players are being more selective with their clients. Ceri Jones reports.

Henry Smith talks to Susan Ebenston, product executive at JPMorgan WSS on how the firm has secured a string of successful traditional and alternative outsourcing deals.