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July/August 2011<br />
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The investment industry is not equipped<br />
to understand the impact of global political instability,<br />
says one expert on political risk.<br />
What can investors do?<br />
<br />
The Great Rebalancing:<br />
Asset Allocation<br />
Reloaded<br />
A7cu7men (n):<br />
<br />
<br />
The insight that<br />
managing pension risk<br />
is about more than<br />
managing assets.<br />
Giving liabilities equal weight is a cornerstone of integrated<br /> <a title="July/August 2011 CFA Magazine page 1" href="http://viewer.zmags.com/publication/d42aa7ee?page=1">July/August 2011 </a> July/August 2011 <a title="July/August 2011 CFA Magazine page 2" href="http://viewer.zmags.com/publication/d42aa7ee?page=2">A7cu7men (n):The insight thatmanaging pension</a> A7cu7men (n):The insight thatmanaging pension<a title="July/August 2011 CFA Magazine page 3" href="http://viewer.zmags.com/publication/d42aa7ee?page=3">July/August 201132 The Great Rebalanc</a> July/August 201132 The Great Rebalanc<a title="July/August 2011 CFA Magazine page 4" href="http://viewer.zmags.com/publication/d42aa7ee?page=4">July/August 20115221“The dichotomy betwee</a> July/August 20115221“The dichotomy betwee<a title="July/August 2011 CFA Magazine page 5" href="http://viewer.zmags.com/publication/d42aa7ee?page=5">IN SUMMARYWhispers, Words, and MusicWhat Oss</a> IN SUMMARYWhispers, Words, and MusicWhat Oss<a title="July/August 2011 CFA Magazine page 6" href="http://viewer.zmags.com/publication/d42aa7ee?page=6">IN SUMMARYimposed on the eurozone is only one</a> IN SUMMARYimposed on the eurozone is only one<a title="July/August 2011 CFA Magazine page 7" href="http://viewer.zmags.com/publication/d42aa7ee?page=7"> Empathy, Contempt, and Overlook</a> Empathy, Contempt, and Overlook<a title="July/August 2011 CFA Magazine page 8" href="http://viewer.zmags.com/publication/d42aa7ee?page=8">LETTERS Personally, I think it is misgu</a> LETTERS Personally, I think it is misgu<a title="July/August 2011 CFA Magazine page 9" href="http://viewer.zmags.com/publication/d42aa7ee?page=9">In FocusThe CFA NetworkBY JOHN ROGERS, CFAI</a> In FocusThe CFA NetworkBY JOHN ROGERS, CFAI<a title="July/August 2011 CFA Magazine page 10" href="http://viewer.zmags.com/publication/d42aa7ee?page=10">ViewpointLong Live Quantitative Models!Rather </a> ViewpointLong Live Quantitative Models!Rather <a title="July/August 2011 CFA Magazine page 11" href="http://viewer.zmags.com/publication/d42aa7ee?page=11"> Previous research has shown that this sta</a> Previous research has shown that this sta<a title="July/August 2011 CFA Magazine page 12" href="http://viewer.zmags.com/publication/d42aa7ee?page=12">Viewpoint I am an unrepentant advocate of </a> Viewpoint I am an unrepentant advocate of <a title="July/August 2011 CFA Magazine page 13" href="http://viewer.zmags.com/publication/d42aa7ee?page=13">ViewpointParadigm LostWhat can 19th-century ep</a> ViewpointParadigm LostWhat can 19th-century ep<a title="July/August 2011 CFA Magazine page 14" href="http://viewer.zmags.com/publication/d42aa7ee?page=14">and validate every piece of input fed into a mode</a> and validate every piece of input fed into a mode<a title="July/August 2011 CFA Magazine page 15" href="http://viewer.zmags.com/publication/d42aa7ee?page=15">ViewpointThe Euro's Existential ChallengeThe e</a> ViewpointThe Euro's Existential ChallengeThe e<a title="July/August 2011 CFA Magazine page 16" href="http://viewer.zmags.com/publication/d42aa7ee?page=16">inevitably be a risk of monetary breakup, accompa</a> inevitably be a risk of monetary breakup, accompa<a title="July/August 2011 CFA Magazine page 17" href="http://viewer.zmags.com/publication/d42aa7ee?page=17">MarketINTEGRITYThree Years and CountingRegu</a> MarketINTEGRITYThree Years and CountingRegu<a title="July/August 2011 CFA Magazine page 18" href="http://viewer.zmags.com/publication/d42aa7ee?page=18">MarketINTEGRITYCFA Institute Appoints Directo</a> MarketINTEGRITYCFA Institute Appoints Directo<a title="July/August 2011 CFA Magazine page 19" href="http://viewer.zmags.com/publication/d42aa7ee?page=19">CFA Institute Announces Appointments to New Asset</a> CFA Institute Announces Appointments to New Asset<a title="July/August 2011 CFA Magazine page 20" href="http://viewer.zmags.com/publication/d42aa7ee?page=20">MarketINTEGRITYIn Need of a Fair FightRegul</a> MarketINTEGRITYIn Need of a Fair FightRegul<a title="July/August 2011 CFA Magazine page 21" href="http://viewer.zmags.com/publication/d42aa7ee?page=21">EthicsFORUMDéjà VuBY DOROTHY KELLY, CFA</a> EthicsFORUMDéjà VuBY DOROTHY KELLY, CFA<a title="July/August 2011 CFA Magazine page 22" href="http://viewer.zmags.com/publication/d42aa7ee?page=22">EthicsFORUMDISCIPLINARY NOTICESSummary Suspe</a> EthicsFORUMDISCIPLINARY NOTICESSummary Suspe<a title="July/August 2011 CFA Magazine page 23" href="http://viewer.zmags.com/publication/d42aa7ee?page=23">PortfolioPERFORMANCEEuro Crisis Reconsidere</a> PortfolioPERFORMANCEEuro Crisis Reconsidere<a title="July/August 2011 CFA Magazine page 24" href="http://viewer.zmags.com/publication/d42aa7ee?page=24">PortfolioPERFORMANCEcommodity prices, inflati</a> PortfolioPERFORMANCEcommodity prices, inflati<a title="July/August 2011 CFA Magazine page 25" href="http://viewer.zmags.com/publication/d42aa7ee?page=25">tr e“Managers are positioned betweenhe </a> tr e“Managers are positioned betweenhe <a title="July/August 2011 CFA Magazine page 26" href="http://viewer.zmags.com/publication/d42aa7ee?page=26">AnalystAGENDASol SurvivorsUnderstanding c</a> AnalystAGENDASol SurvivorsUnderstanding c<a title="July/August 2011 CFA Magazine page 27" href="http://viewer.zmags.com/publication/d42aa7ee?page=27"> A World of Clean-Tech IncentivesThe Ja</a> A World of Clean-Tech IncentivesThe Ja<a title="July/August 2011 CFA Magazine page 28" href="http://viewer.zmags.com/publication/d42aa7ee?page=28">AnalystAGENDAof a dog's breakfast of regulato</a> AnalystAGENDAof a dog's breakfast of regulato<a title="July/August 2011 CFA Magazine page 29" href="http://viewer.zmags.com/publication/d42aa7ee?page=29"> major installations, including the government's</a> major installations, including the government's<a title="July/August 2011 CFA Magazine page 30" href="http://viewer.zmags.com/publication/d42aa7ee?page=30">Private CLIENT CORNERAdvising El</a> Private CLIENT CORNERAdvising El<a title="July/August 2011 CFA Magazine page 31" href="http://viewer.zmags.com/publication/d42aa7ee?page=31"> Elderly clients who are technically compet</a> Elderly clients who are technically compet<a title="July/August 2011 CFA Magazine page 32" href="http://viewer.zmags.com/publication/d42aa7ee?page=32">Standards IN PRACTICEA Matter of </a> Standards IN PRACTICEA Matter of <a title="July/August 2011 CFA Magazine page 33" href="http://viewer.zmags.com/publication/d42aa7ee?page=33">assumption that it could not be called until 2013</a> assumption that it could not be called until 2013<a title="July/August 2011 CFA Magazine page 34" href="http://viewer.zmags.com/publication/d42aa7ee?page=34">How the outlook for low returnsand high volatili</a> How the outlook for low returnsand high volatili<a title="July/August 2011 CFA Magazine page 35" href="http://viewer.zmags.com/publication/d42aa7ee?page=35">T he rating action barked but di</a> T he rating action barked but di<a title="July/August 2011 CFA Magazine page 36" href="http://viewer.zmags.com/publication/d42aa7ee?page=36">there is a lot of systematic risk building undern</a> there is a lot of systematic risk building undern<a title="July/August 2011 CFA Magazine page 37" href="http://viewer.zmags.com/publication/d42aa7ee?page=37">equities), but they are also in a much healthier </a> equities), but they are also in a much healthier <a title="July/August 2011 CFA Magazine page 38" href="http://viewer.zmags.com/publication/d42aa7ee?page=38">the days of chronic equity overvaluation against </a> the days of chronic equity overvaluation against <a title="July/August 2011 CFA Magazine page 39" href="http://viewer.zmags.com/publication/d42aa7ee?page=39">2011 GLOBAL WEALTH MANAGEMENTCONFERENCEOpportu</a> 2011 GLOBAL WEALTH MANAGEMENTCONFERENCEOpportu<a title="July/August 2011 CFA Magazine page 40" href="http://viewer.zmags.com/publication/d42aa7ee?page=40">“A VERY EXCITING TIME” </a> “A VERY EXCITING TIME” <a title="July/August 2011 CFA Magazine page 41" href="http://viewer.zmags.com/publication/d42aa7ee?page=41"> What kind of IPOs are coming up?We are </a> What kind of IPOs are coming up?We are <a title="July/August 2011 CFA Magazine page 42" href="http://viewer.zmags.com/publication/d42aa7ee?page=42"> Are there differences in professional st</a> Are there differences in professional st<a title="July/August 2011 CFA Magazine page 43" href="http://viewer.zmags.com/publication/d42aa7ee?page=43">sociopolitical events and the resultant market tu</a> sociopolitical events and the resultant market tu<a title="July/August 2011 CFA Magazine page 44" href="http://viewer.zmags.com/publication/d42aa7ee?page=44">POLITICALLY The investment industr</a> POLITICALLY The investment industr<a title="July/August 2011 CFA Magazine page 45" href="http://viewer.zmags.com/publication/d42aa7ee?page=45">MOTIVATEDI nvestors with assets in Egypt </a> MOTIVATEDI nvestors with assets in Egypt <a title="July/August 2011 CFA Magazine page 46" href="http://viewer.zmags.com/publication/d42aa7ee?page=46">money in Egypt anyway,” says one U.K.-based pensi</a> money in Egypt anyway,” says one U.K.-based pensi<a title="July/August 2011 CFA Magazine page 47" href="http://viewer.zmags.com/publication/d42aa7ee?page=47"> Malmgren also worries that a </a> Malmgren also worries that a <a title="July/August 2011 CFA Magazine page 48" href="http://viewer.zmags.com/publication/d42aa7ee?page=48">12 months ago. So, while we look at </a> 12 months ago. So, while we look at <a title="July/August 2011 CFA Magazine page 49" href="http://viewer.zmags.com/publication/d42aa7ee?page=49">EMEAVOICECountering Market AbuseBY NITIN M</a> EMEAVOICECountering Market AbuseBY NITIN M<a title="July/August 2011 CFA Magazine page 50" href="http://viewer.zmags.com/publication/d42aa7ee?page=50"> CFA InstituteBRIEFS</a> CFA InstituteBRIEFS<a title="July/August 2011 CFA Magazine page 51" href="http://viewer.zmags.com/publication/d42aa7ee?page=51">AmericasOUTLOOKA Peruvian TaleBY ROBERT JO</a> AmericasOUTLOOKA Peruvian TaleBY ROBERT JO<a title="July/August 2011 CFA Magazine page 52" href="http://viewer.zmags.com/publication/d42aa7ee?page=52"> CFA InstitutBRIEFS2011 Annual ConferenceHi</a> CFA InstitutBRIEFS2011 Annual ConferenceHi<a title="July/August 2011 CFA Magazine page 53" href="http://viewer.zmags.com/publication/d42aa7ee?page=53">Asia-PacificFOCUSGIPS Standards Adoption Incre</a> Asia-PacificFOCUSGIPS Standards Adoption Incre<a title="July/August 2011 CFA Magazine page 54" href="http://viewer.zmags.com/publication/d42aa7ee?page=54"> CFA InstituteBRIEFSBuilding a New Generatio</a> CFA InstituteBRIEFSBuilding a New Generatio<a title="July/August 2011 CFA Magazine page 55" href="http://viewer.zmags.com/publication/d42aa7ee?page=55">CFA InstituteBRIEFSsays global- and regional</a> CFA InstituteBRIEFSsays global- and regional<a title="July/August 2011 CFA Magazine page 56" href="http://viewer.zmags.com/publication/d42aa7ee?page=56">Point CounterpointAgree or Disagree: In the</a> Point CounterpointAgree or Disagree: In the<a title="July/August 2011 CFA Magazine page 57" href="http://viewer.zmags.com/publication/d42aa7ee?page=57">Agree or Disagree: In the so-called new normal, </a> Agree or Disagree: In the so-called new normal, <a title="July/August 2011 CFA Magazine page 58" href="http://viewer.zmags.com/publication/d42aa7ee?page=58">Point CounterpointContinued from page 54 </a> Point CounterpointContinued from page 54 <a title="July/August 2011 CFA Magazine page 59" href="http://viewer.zmags.com/publication/d42aa7ee?page=59">GET INVOLVEDIN THIS YEAR'SCHALLENGE.A real-wor</a> GET INVOLVEDIN THIS YEAR'SCHALLENGE.A real-wor<a title="July/August 2011 CFA Magazine page 60" href="http://viewer.zmags.com/publication/d42aa7ee?page=60"> No Matter How You Say It,AFG Speaks Globa</a> No Matter How You Say It,AFG Speaks Globa