Aftershocks from the global financial crisis continue to roil global financial markets, threatening to upset the nascent recovery. For institutional funds, higher levels of risk and uncertainty have become the new normal as investors pursue investment strategies that are more flexible and adaptable.
 
A probable bumpy path to financial recovery will encourage, among other things, a heightened emphasis on governance as investors see links between improved governance and improved performance. The focus on asset allocation will remain intense, and investors will deploy new approaches, such as delegated investment solutions, to more efficiently deploy their resources and achieve investment objectives that balance risk and return. This new environment is a time to reflect and act:

• How can institutional funds be more nimble in a time of greater risk and uncertainty?
• What can be done to improve governance and weave it into better performance?
• Why is it important to consider new asset allocation approaches?
• How can resources be more effectively used?