“The Biggest Focus Areas for Institutional Investors” – OFI Global – March 30, 2016

On March 30, 2016 OFI Global Asset Management, an OppenheimerFunds company, and Pensions & Investments conducted a survey of 240 institutional investors, representing:  endowments, foundations and sponsors of corporate and public pension plans, both defined benefit and defined contribution plans. The survey findings were published in a report entitled, “Institutional Investors:  Shared Expectations, Divergent Paths.”

These are four key findings:

  1. “Institutional investors share the same concerns and outlook, but are responding differently.
  2. Although corporate & public plan sponsors are on divergent paths, neither is planning big allocation changes.
  3. Return generation is a top goal for many institutional investors
  4. Adoption of environmental, social and governance (ESG) principles is in its early stages.

Institutional investors reported a low rate of adoption of environmental, social and governance (ESG) criteria in their investment decisions. Of the institutions that employ ESG principles, 30% do so because they expect higher risk-adjusted returns on those investments; two-thirds do so because of policy mandates or because they view ESG as part of their fiduciary duty.”

You may read more about the findings and download the report from the insights page of the OFI Global internet site.