Deals and People November 30, 2009

Natixis Beefs Up UK Focus

November 30, 2009 (PLANSPONSOR.com) - Natixis Global Associates (NGA) has announced a newly created role in charge of UK institutional business, as well as global and UK consultant relationships.

 

Reported by

Appointed to the new role at NGA – the distribution arm of the French multi-boutique asset management organization Natixis Global Asset Management (NGAM) – is Terry Mellish, who will join the London office of NGA on January 4, according to the announcement.   

Senior Hires Ahead

Get more!  Sign up for PLANSPONSOR newsletters.

In his new role, Mellish will be responsible for increasing NGA’s presence in the institutional marketplace in the UK. In addition to enhancing relationships with UK consultants, responsibility for global consultant relationships will be centralized in London under Mellish’s leadership, and Mellish aims to bolster the UK institutional team with the recruitment of a number of senior hires for 2010, according to the announcement.  Mellish will report to Hervé Guinamant, president and chief executive officer of NGA’s international investment distribution organisation (NGAI). 

Mellish was most recently head of UK institutional business at Union Bancaire Privée (UBP), having previously held the same position at Credit Suisse Management from 2004 to 2006. Mellish began his career at Schroders, ending in 2004 as executive director, global consultant relationships.  

John Hailer, president and chief executive officer of North America and Asia operations for NGAM, said: “Terry’s appointment signals an acceleration of our institutional distribution strategy for NGA in the UK and a renewed focus on the global and local UK consultant community. Terry has extensive experience of the institutional marketplace and will play a key role in bringing the capabilities and expertise of our investment affiliates from around the world to a wider audience.” 

NGAM has $723 billion in assets under management (as of 30 September 2009). The company operates a multi-boutique structure, owning nearly 20 affiliate fund managers across the globe and covering a range of styles in equities, fixed-income managers, real estate and alternatives. In the first nine months of 2009, NGAM saw positive net inflows of US $18.1 billion, according to a press release.

Benefits November 30, 2009

DB Plan Volatility among Top Exec Concerns

November 30, 2009 (PLANSPONSOR.com) – A recent survey by Towers Perrin finds that most finance executives remain concerned about several financial and risk management issues, most notably cash and cash flow, and defined benefit (DB) pension plan volatility.

Reported by

Fifty-four percent of finance executives surveyed reported an increased level of concern around pension plan volatility, more than such issues as risk management, access to short- and long-term financing, and executive compensation, according to a press release. However, survey findings indicate that only about one-third of the respondents have changed pension plan investment strategy as a result of the financial turmoil, and even fewer (12%) have changed pension plan hedging policies.

Towers Perrin said cash flow concerns are somewhat higher on the executives’ radar because of the minimum funding requirements mandated by the U.S. Pension Protection Act.  Nearly 70% of respondents attached some degree of importance to managing pension-related funding needs over the next six to 12 months, with more than one-quarter saying it is very important or essential.

Never miss a story — sign up for PLANSPONSOR newsletters to keep up on the latest retirement plan benefits news.

From a risk management perspective, 61% of respondents said pension risk management needs at least a little improvement and another 10% think a lot of improvement is needed.

Cash Flow Tops Concerns

When ranking the importance of certain activities they will be considering over the next six to 12 months, 81% of respondents said cash flow is important or essential.  More than three-fourths of respondents (77%) listed earnings, followed by revenue (74%), liquidity (72%), and market share growth (37%). 

Further, most executives said they still expect to be focusing on capital and liquidity a year from now.  Fifty-three percent said they expect a long-term need to optimize liquidity levels, followed by the need to invest in businesses to create growth (50%), and to reduce cash-flow volatility (41%).

Other survey findings, according to the press release, include:

  • Most companies have been hard hit by the recession, and nearly a quarter (23%) report a revenue shortfall of more than 20%.
  • Although 30% of executives said the recession would end in 2009, 53% noted they believe it will end in 2010.
  • Changes to short-term operating budgets and cash management have been greater than were anticipated a year ago.  Sixty percent said they made changes to short-term operating budgets, while only 44% said they were planning on them a year ago.  Further, 57% changed their cash management practices; 49% said last year that the change was in the offing.
  • When it comes to specific areas of risk management most in need of improvement at their respective firms, 22% cited operational risk, and 16% indicated market risk, while 14% said liquidity risk.

 

 

Conducted between October 6 and October 26, 2009, Towers Perrin latest survey gathered responses from 133 U.S. corporate finance executives.

«