Luxembourg’s Finance Minister, Pierre Gramegna, and industry experts assess the regulatory priorities, investment trends and challenges ahead for the fund industry.
HE Minister Pierre Gramegna maps out the new government’s priorities for the Luxembourg fund industry
Behavioural Finance specialist Paul Craven discusses the dangers of bad judgment and herd instinct for financial markets
Citi Private Bank’s Gavin Rankin identifies where investors are putting their money and the impact of AIFMD
These podcasts were filmed at ALFI’s 2014 Spring Conference in Luxembourg. View the full conference highlights, including comments from ALFI chairman Marc Saluzzi:
“Luxembourg is the no. 1 place for RMB business in the Eurozone”
HE Minister Pierre Gramegna, Finance Minister for Luxembourg, on the new government’s priorities for the financial sector and the fund industry:
- To ensure predictability for all actors in the industry
- To encourage the diversification of products and increase the focus on alternative investments
- To be more present in Asia and the Middle East, and maintain Luxembourg’s prime position for RMB business in the Eurozone
“Herd instinct is dangerous for financial markets”
Behavioural Finance specialist Paul Craven explains how understanding behavioural finance can help investors and asset managers alike identify hardwired biases in their decision making.
One of these biases is ‘herd instinct’ where following the example of others when making investment decisions can lead to dangerous market bubbles and wealth destruction.
“Asset managers need coaches the way professional athletes do”, says Paul Craven.
“AIFMD will give rise to a clearer market for the distribution of alternative products“
Gavin Rankin, head of managed investments, Citi Private Bank, EMEA, discusses the impact of the financial crisis on investors, regulators and distributors, and assesses the long-term effect of the AIFMD on product development. The main investment trends Gavin identifies are:
- Hedge funds attracting increased investment
- The move from fixed income back into equities, bank loans and absolute return fixed income
- Private equity investment strategies with more use of credit and shorter tenures