The ACI are a set of four Sterling denominated peer group indices compiled by ARC Research Limited (ARC). They are specifically designed to be used by charity trustees and advisers in assessing the performance of your charity’s investment portfolio. The Indices provide an insight into the actual returns being generated by investment managers for their discretionary managed charity portfolios (net of fees). Charities have historically tended to place a higher importance on ESG and ethical restrictions, so the ACI index represents the performance of a mix of portfolios with varying degrees of restrictions applied, so the ACI are also a suitable comparator for ESG portfolios.
Evolving PerceptionsFeb 2025 |
I find that because of modern technological evolution and our global economy, and as a result of the great increase in population, our world has greatly changed: it has become much smaller. |
Geographical equity allocation is becoming increasingly binary, with the dominance of US stocks limiting meaningful tactical asset allocation at the country level.
Discretionary fund managers (DFMs) should consider shifting towards sector-based allocation, which offers greater opportunities for diversification, better risk-adjusted returns and more control over unintended factor exposures.