cite macro and geopolitical risks as their greatest concern to portfolio performance in the next 12 months vs. 32% in 2017.
feel they need customised Solutions as their needs are not being met by ‘off the shelf’ products.
are looking to increase their exposure to Private Assets over the next three years.
believe Sustainability will play a more important role in the next five years.
Higher interest rates
Tapering of monetary policy
Global institutional investors expect annual total returns above 5% over the next five years.
Asia-Pacific institutional investors are most optimistic, with 13% forecasting returns above 10% over the next five years and 61% anticipating returns between 5-9%.
North American institutional investors also have relatively high expectations, with 77% pencilling in returns between 5-9%.
Generating income for clients57%
Generating high risk-adjusted returns
Equities (developed markets)
Equities (emerging markets)
Fixed income (developed markets)
Fixed income (emerging markets)
Schroders commissioned CoreData to conduct the third Institutional Investor Study to analyse the world’s largest investors’ key areas of focus and concern including the macroeconomic and geopolitical climate, return expectations, asset allocation and attitudes to private assets and sustainable investing. The respondent pool represents a spectrum of institutions, including pension funds, insurance companies, sovereign wealth funds, endowments and foundations managing approximately $25.4 trillion in assets. The research was carried out in May 2019. The 650 institutional respondents were split as follows: 175 in North America, 250 in Europe, 175 in Asia-Pacific and 50 in Latin America. Respondents were sourced from 20 different locations.