Institutional Investors

Mercer finds investment outsourcing gaining in popularity


Institutional funds battered by volatile equity markets and low interest rates are leading more boards and investment committees to consider investment outsourcing, a Mercer survey found.

In a survey of 100 organisations, Mercer found that 41% of respondents with assets below $500 million are considering investment outsourcing and 31% of those surveyed with assets in the $501 million to $100 billion range are also considering such delegation. Half of the groups surveyed have either one or no full-time person managing investments.

Roughly 27% of respondents to the Mercer survey believe that they have missed investment opportunities due to