George Latham & Mike Clark

In search of a better beta: Why benchmark orthodoxy must change


George Latham, Managing Partner and CIO of WHEB Asset Management and Mike Clark, Founder of Ario Advisory and member of WHEB’s Independent Investment Advisory Committee challenge conventional benchmark orthodoxy and suggest a way forward

The debate around the so-called ‘tyranny of the benchmark’ is not new. Yet it continues to be revisited time and again as a cause of short-term thinking which creates a perverse incentive for fund managers. However, nothing seems to change. Few are prepared to challenge the existing orthodoxy of portfolio construction and the role of benchmarks. The status quo is maintained. This must change.

Read more …

Seb Beloe

Sustainability, automation and the future of manufacturing


Robotics and wider trends around automation are rarely out of the news at the moment with everyone from Mark Carney to McKinsey opining on the likely positive or negative impacts[i]. There are a myriad of views on the potential disruption caused by robotics and automation, but what is the case that the technology fits within a sustainable investment portfolio?

Read more …

Seb Beloe

What are the implications of a Trump Presidency for sustainable investing?


The news on Wednesday morning that Donald Trump is the new President-elect of the United States came as a surprise to markets which had been focused on a victory for Hillary Clinton. Trump has been very outspoken in his hostility to policy action on climate change and in his enthusiasm to support fossil fuels. But beyond this headline, what are the implications of a Trump presidency for sustainable investing?

Read more …

Seb Beloe

Energy storage – electrifying potential


Blog Image Light 20160830

The saga of Hinkley Point C has had more twists and turns than a Weston-super-Mare roller coaster and with every passing day the project appears more expensive and ill-judged. Because of its vast expense, Hinkley Point has unintentionally illuminated the very real progress that is taking place in energy storage technologies. These technologies offer an alternative approach to providing secure and low carbon power at a reasonable price.

Read more …

Seb Beloe

Written with Josh Robins (Intern)   Josh 2016-07-26

In September 2015 the United Nations (UN), as part of their 2030 Agenda for Sustainable Development, released the Sustainable Development Goals (SDGs) outlining seventeen goals with 169 individual targets on issues ranging from poverty reduction to marine conservation.[i] The goals are aspirational and set extremely demanding objectives for the next 15 years. But perhaps more importantly, because of the UN’s imprimatur, they also set out authoritatively what the world’s governments consider as development priorities for the next 15 years.

Read more …

George Latham

UK votes to Brexit


For the second time in recent UK election history the polls have been misleading.  Over the past week, as well as opinion polls firming, both the betting and financial markets have been indicating a vote for remain with increasing confidence. This turns out to have been misplaced.  As a result, both stock and currency markets are experiencing significant volatility this morning as it becomes clear that the UK has voted to leave the European Union.

Read more …

George Latham

Building longer term relationships with clients


This article first appeared in the launch edition of the Transparency Times which you can access by clicking here

The Financial Services Industry remains one of the least trusted sectors of the economy around the world[1]. The investing public assumes that financial services industry is out to get rich at their expense, rather than providing an important service to the economy and the needs of savers.

Read more …

George Latham

Impact Investing in Public Equities


The market for Impact investments is growing fast, or so you would believe by the number of articles, conferences and events which have grown up to service the idea of putting money to work with the intention of creating positive impact on society and the environment.  The GIIN Investors Council of 60 impact investors around the world has a total of $11trn total assets under management, of which $60bn has so far been invested in impact investments[1].

Read more …

Seb Beloe

What do ESG ratings actually tell us?


In November we published a blog highlighting deep flaws in ESG research that focuses exclusively on how companies operate, while ignoring the impact of products and services.[i] In this article, we take aim at another part of the ESG industry that has become popular in recent years – ESG ratings.

Read more …

Seb Beloe

Creative Destruction and the end of the carbon economy


Joseph Schumpeter, the Austrian Finance Minister and Harvard professor coined the term ‘creative destruction’ in the 1940s to describe a ‘process of industrial mutation that incessantly revolutionises the economic structure from within, incessantly destroying the old one, incessantly creating the new one.’[i]

This process is now widely recognised as an essential and valuable feature of capitalism, recognisable across the economy as new technologies and business models displace older versions. The shift from mainframe to personal computers, from photographic film to digital and from CDs to MiniDiscs to MP3 players are all contemporary examples of creative destruction in action.

Read more …

Sign up to receive our lastest news & views

Please select from below: