Discretionary Global Macro Tops Institutional Investment Strategies
Societe Generale’s Prime Services unit recently polled global investors, including pensions, endowments, funds of funds and wealth managers about their allocation strategies over the next year.
The survey results reflect timely insight into the thinking of a broad group of asset allocators during a time of geopolitical uncertainty, as central banks continuing to fight persistent inflation across the U.S. and Europe.
“Discretionary global macro is the strategy most investors are planning to allocate resources to for the fourth straight year, reflecting the viability of the strategy across different market conditions,” said David Regan, CFA, CDDA, Director of Capital Consulting at Societe Generale.
Discretionary global macro maintained its position as the most cited strategy, with 51% of respondents planning allocations in the next year, down only slightly from the 55% from 2022.
As the chart below indicates, a number of strategies have seen allocation interest rise since the initial survey was conducted in 2020. Those include commodities (29% allocating in 2023 vs. 18% in 2020), fixed income relative value (27% in 2023 vs. 17% in 2020) and quantitative global macro (39% in 2023 vs. 34% in 2020).
The survey also shows the growth in available strategies over a few years’ time, with Crypto/Digital Assets making its way onto the list.
“By periodically taking the pulse of asset allocators, the team can ensure that we’re making meaningful connections between our clients and investors who are looking to refine their portfolio construction to navigate the present market backdrop,” said Regan.
For more information about the survey, please contact: PRM.CapitalConsulting@sgcib.com
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