ADDING ALTERNATIVE EXPOSURE 12'05'06

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ADDING ALTERNATIVE EXPOSURE 12.05.06

• John Dickson

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In the news
UK pensions pileinto hedge funds
YORKSHIRE PLOUGHS MONEY INTO ALTERNATIVE
INVESTMENTS
Railpen hires for 700m alternatives trawl
UK local authority to put 5 into absolute
return funds
BT REALISES UKS LARGEST COMMODITIES INVESTMENT
Yet only 2 average allocation to other at end
of 2005
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What is alternative?
Private Equity Property
Hedge Funds Commodities Currency Global
Property
Equities Bonds

• Jimmy Tarbuck

Johnny Vegas
Billy Connolly
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Why alternatives?

• Myners say so!
• Principle 3 Focus on Asset Allocation
• decision makers should consider a full range of
  investment opportunities, including all major
  asset classes

Currency Commodities Hedge funds Absolute returns
Equities Bonds Property
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Asset class performance
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Merits of a diversified portfolio
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Beware of mis-selling!
COMMODITY RETURNS
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Diversify across assets and approaches
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THANK YOU
Any questions?