Africa Sustainable Finance Intensive

Asset OwnersHelping asset owners mitigate portfolio risk, enhance investment returns and retirement outcomes by accessing opportunities across asset classes and geographies.

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Asset Owners in Africa

As Africa continues to recover from the pandemic, it faces the challenges of a slow global economy, global inflation, elevated borrowing costs, and a cost-of-living crisis. In many instances, inflation remains elevated, borrowing costs are still high, exchange-rate pressures endure, and there are ongoing concerns about political stability. For asset owners with long planning horizons and multi-decade liabilities, this environment presents too many open-ended and unknowable risks. The immediate one is how to enhance investment performance and mitigate portfolio risk to be able to deliver preferred retirement outcomes.
International Diversification can reduce volatility, minimise risks and possibly improve investment returns of pensions and lifetime portfolios. For pension and lifetime funds across Africa, this represents an allocation opportunity since they are faced with additional country-specific risks such as economic, political, local market and currency.

With regulations now easing to pave the way for international diversification, what is the optimum asset allocation between domestic and international asset classes? How can pension and lifetime funds identify foreign markets that could benefit their portfolio dynamics? What asset classes are delivering cross-border return premiums? What are the most appropriate ways of externalising assets across jurisdictions? How can institutional investors estimate the real benefits of their exposure to cross-border asset classes? International Diversification is a learning and implementation program helping pension and lifetime funds identify markets and asset classes where they could benefit the most. The programme also gives pension and lifetime funds access to leading intermediaries who are already helping their peers implement their international diversification and allocation strategy.
Internationalising Pensions Portfolio

Internationalising Pensions Portfolio11,18 & 25 January 2024  |  DIGITAL DIALOGUE

With regulations now easing to pave the way for international diversification, what is the optimum asset allocation between domestic and international asset classes? How can pension and lifetime funds identify foreign markets that could benefit their portfolio dynamics? What asset classes are delivering cross-border return premiums? What are the most appropriate ways of externalising assets across jurisdictions? How can institutional investors estimate the real benefits of their exposure to cross-border asset classes? The webinar is an open conversation with African pension funds on reducing the risk of the variability of return as well as to raise the level of return.

International Immersions

Value Creation in Africa Private Markets

International Diversification25 - 29 MAR 2024  |  New York, US

Africa-led investor delegations to the United States to help asset owners better evaluate the opportunities and risks in investing asset classes and securities in the United States.
ASFI Europe

International Diversification3 - 7 JUN 2024  |  London, UK

Africa-led investor delegations to the United Kingdom to help asset owners better evaluate the opportunities and risks in investing asset classes and securities in the United Kingdom.

International DiversificationTBA 2024  |  Dubai, UAE

Africa-led investor delegations to the United Arab Emirates to help asset owners better evaluate the opportunities and risks in investing asset classes and securities in the UAE.

Related Programmes

Reorienting Asset Allocation

Volatility from inflation and policy tightening is reverberating through financial markets. Across Africa, this is layered with debt distress, currency risk, climate shocks and many more. For asset owners, such as pension funds, with long planning horizons and multi-decade liabilities, this presents many unknowable risks. Reorienting Asset Allocation is aimed at helping pension funds transform their investment processes to position for resilient growth. It is a learning and implementation platform designed to optimise the opportunity for risk-adjusted enhanced returns.
ASFI Carbon Credit & Offset Cluster

Sustainable Asset Universe

Asset Owners such as pension funds now take the integration of ESG criteria in their investment decisions seriously as investor preferences evolve. However, there are distinct viewpoints on whether, how, and when ESG criteria should, and should not, drive pension fund investments. How should pension funds ensure they understand what their stakeholders expect and consider these preferences against their business case of enhancing investment performance, mitigating portfolio risk and delivering preferred retirement outcomes?

Programme Team

Programme Partners

Africonomie
MNCapital group
Mwungano ESG
Mauritius Finance

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