High-conviction, active investing across a broad range of markets is what defines us at PineBridge. Distinguishing us from other asset managers is our agile investing capability and a culture that focuses on collaboration, enabling a constant exchange of information across borders of all kinds.
Key to achieving our goals is our connected and collaborative investment culture. Ehret describes regular interactions across geographies and asset classes – for example, equity managers frequently attend fixed income team meetings, and vice versa, to leverage their market insights. These touchpoints around the globe from our offices across the Americas, the Middle East, Europe, and Asia-Pacific (where half of our assets are managed for Asia-based clients) form a communication infrastructure that differentiates us from larger players in the industry.
This sense of cohesion among the investment teams stems from having ridden the highs and lows of the previous market cycle together. PineBridge emerged from insurance giant AIG in the wake of the financial crisis, and the transition from AIG to PineBridge fortified the teams’ dedication to each other – and to helping clients thrive.
“Even though each of our investment teams has its own culture, everyone understands that we work better when we are open, transparent, and collaborative,” Ehret says. To further reinforce this dynamic, the firm recently moved its headquarters in New York City to a state-of-the-art open-plan space to deepen collaboration both within teams and across the organization.
employees
investment professionals
offices
Data as of 30 June 2020. Investment professionals include portfolio managers, research analysts, traders, portfolio strategists and product specialists, and are subject to change.
The cohesion also comes from staff retention. Our senior investment professionals have an average tenure with the firm of 13 years.1 And a culture of entrepreneurial spirit – the ability to get things done –generates a high level of satisfaction among employees. “It’s gratifying to see your hard work come to fruition and be recognized among your colleagues. This comes through in the feedback from the employee engagement surveys we conduct each year,” says Ehret.
Our broad employee base has consistently expressed strong satisfaction with their jobs, our values, our focus as a company, and our efforts to build a diverse and inclusive company culture. “Yet we recognize that there’s always room to do more, and we encourage our employees to invest in their own individual and their overall team development,” Ehret says.
“Consider large-cap equities. You have to be careful how you play in that space,” Ehret says. “You have to provide real differentiation, you can’t look like the index, you must be focused, you must have deeper portfolio holdings, and you must be more than benchmark-aware. If you can’t do it that way, then you shouldn’t do it at all.” That’s why we avoid US large cap as an overall strategy outside of our quantitative equity business. This group differentiates itself by using an active and systematic approach through a combination of quantitative modeling and a proprietary company lifecycle framework that values holdings according to where a company is within its lifecycle.
Differentiation also means a strong focus on our strengths, and a consequence of this strategic focus is that we’re positioned to avoid what Ehret sees as two areas impacting the asset management landscape. “One is US retail investing, where ETFs are taking market share at a rapid rate,” he says. “The second is US corporate defined benefit plans, which are quickly accelerating toward liability-driven investing (LDI) and away from the dwindling growth assets. Within the LDI space, a small percentage of assets are set aside for growth, and that’s a market where we can focus our efforts.”
Given the challenges that rapid technological changes bring, from a firm-wide strategy perspective we are active in asset classes and areas that are less susceptible to disintermediation through passive investing and technological change. “We’re not interested in running right into the passive territory of our competitors. We have conviction that our active approach can add the most value for our clients,” Ehret says.
Another industry change that we’re harnessing is the rise of ESG (environmental, social, and governance) investing.
At PineBridge, we believe that incorporating ESG principles in investing isn’t a zero-sum game. Ehret explains that this “is becoming more of a focus, not just because of our clients and their needs, but because there has been a shift among investors at large. People increasingly believe business models that improve their sustainability create value not only for society, but for investors in those businesses. This is why we take an analytical approach that considers how companies are seeking to improve upon ESG issues.”
But the effort goes beyond that. Says Ehret: “As active managers, we’re able to advocate for – and hasten – change in the select companies we invest in. This can generate meaningful results for our clients – both in investment returns and risk mitigation – over the medium to long term.”
We’re also a signatory to the UN Principles for Responsible Investment (UNPRI). Over 1,700 signatories are required to disclose their responsible investment process to the PRI each year through a detailed reporting framework. This report is reviewed and assigned a rating – ours is A+, a distinction achieved by less than 25% of our peers.7
Ehret notes that our investment teams have a long-standing focus on sustainability as part of their investment processes. “Whether they’re in equities or fixed income, our people are committed to strengthening and refining our approach to responsible investing.”
Sustainability also includes a focus on diversity, inclusion, our environment, and how we engage with our communities. “Just like our clients and prospects, we care about the diversity of our management teams and our workforce. Our goal is to value and leverage the unique backgrounds, talents, and perspectives that all our people bring to work. We believe diversity, in all its dimensions, is core to delivering the best outcomes for our clients,” said Ehret.
By being both an asset manager and an employer, we’re providing financial security to many different people. “We never lose sight of that,” Ehret says, “so delivering results for clients is the central part of our purpose.”
2018 Industry Innovation Award – PineBridge Global Multi-Asset2
2019 Fund Manager of the Year – Asia-Pacific ex Japan Equities category3
2018 Fund House of the Year
2019 Gold in the Regional/Single Country EM Equity category for India Equity Fund5
2019 Best Equity Group for Asia Pacific Small & Medium Companies (HK & Singapore)6
Third-party rankings and recognition from rating services or publications are no guarantee of future investment success. Working with a highly rated advisor does not ensure that a client or prospective client will experience a higher level of performance or results. These ratings should not be construed as an endorsement of the advisor by any client nor are they representative of any one client’s evaluation. Generally, ratings, rankings, and recognition are based on information prepared and submitted by the advisor, and are part of a process in which not all advisors elect to participate. A more detailed disclosure of the criteria used in making these rankings is included herein.
1Includes investment professionals at the senior vice president and managing director levels.
2Source: Chief Investment Officer, announced September 2018. The CIO Industry Innovation Awards are split into two general categories: asset management/servicing and asset owners. The CIO editorial team makes the final decisions as to finalists and eventual winners with input from their awards Advisory Board, as well as surveys and data where applicable. For details of the awards and methodology, please visit: https://www.ai-cio.com/lists/2018-asset-management-servicing-winners/?type=Multi-Asset. Last accessed 19 June 2020.
3Source: Investment Week, awarded to Asia ex Japan Equity as of June 2019. The judging process consisted of a rigorous qualitative and quantitative assessment, with the shortlisted funds screened for their performance track record and relative risks management over a three-year period to 31 December 2018. For details of the awards and methodology, please visit: https://fmya.com/fundmanageroftheyearawards/en/page/2019-winners and https://fmya.com/fundmanageroftheyearawards/en/page/methodology. Last accessed 2 August 2019.
4Source: AsianInvestor, 1 June 2018. Awarded to PineBridge Taiwan. Based on various factors including business performance, growth and progress, on both quantitative and qualitative criteria, on the previous 12 months. For details on methodology, please visit: http://www.asianinvestor.net/article/iasianinvestor-is-top-country-funds-part-2/445176. Last accessed 2 August 2019.
5Source: Fund Selector Asia, announced January 2018. The shortlist was given to an independent panel of professionals from Asia’s fund selector community. For details of methodology, please visit: https://fundselectorasia.com/winners-fsa-fund-awards-hong-kong/2/ (Firm award); https://fundselectorasia.com/2017-fsa-fund-award-winners/. Last accessed 2 August 2019.
6Source: Citywire Asia, announced in February 2019. PineBridge was recognized with Singapore Best Fund Group Awards: Best equity group for Asia Pacific Small & Medium Companies and Hong Kong Best Fund Group Awards: Best equity group for Asia Pacific Small & Medium Companies .For details of the awards, please visit: https://citywireasia.com/news/citywire-asia-awards-2019-winners-singapore-best-fund-groups/a1202031 (Singapore Best Fund Group Awards) and https://citywireasia.com/news/citywire-asia-awards-2019-winners-hong-kong-best-fund-groups/a1202063 (Hong Kong Best Fund Group Awards). For details of methodology, please visit: https://citywireasia.com/news/methodology-citywire-asia-awards/a1199021. Last accessed 2 August 2019.
7To access the Full Assessment Report, please visit: https://www.pinebridge.com/PRI-assessment. To access the Transparency Report, please visit: https://www.pinebridge.com/PRI-transparency. Principles for Responsible Investment (PRI) ratings are based upon information reported by PRI signatories. For further details on PRI methodology, please visit: www.unpri.org/signatories/about-pri-assessment. PineBridge Investments has been a PRI signatory since 22 June 2015.
PineBridge Investments is a group of international companies that provides investment advice and markets asset management products and services to clients around the world. PineBridge Investments is a registered trademark proprietary to PineBridge Investments IP Holding Company Limited.
Readership: This document is intended solely for the addressee(s) and may not be redistributed without the prior permission of PineBridge Investments. Its content may be confidential, proprietary, and/or trade secret information. PineBridge Investments and its subsidiaries are not responsible for any unlawful distribution of this document to any third parties, in whole or in part.
Opinions: Any opinions expressed in this document represent the views of the manager, are valid only as of the date indicated, and are subject to change without notice. There can be no guarantee that any of the opinions expressed in this document or any underlying position will be maintained at the time of this presentation or thereafter. We are not soliciting or recommending any action based on this material.
Risk Warning: All investments involve risk, including possible loss of principal. If applicable, the offering document should be read for further details including the risk factors. Our investment management services relate to a variety of investments, each of which can fluctuate in value. The investment risks vary between different types of instruments. For example, for investments involving exposure to a currency other than that in which the portfolio is denominated, changes in the rate of exchange may cause the value of investments, and consequently the value of the portfolio, to go up or down. In the case of a higher volatility portfolio, the loss on realization or cancellation may be very high (including total loss of investment), as the value of such an investment may fall suddenly and substantially. In making an investment decision, prospective investors must rely on their own examination of the merits and risks involved.
Performance Notes: Past performance is not indicative of future results. There can be no assurance that any investment objective will be met. PineBridge Investments often uses benchmarks for the purpose of comparison of results. Benchmarks are used for illustrative purposes only, and any such references should not be understood to mean there would necessarily be a correlation between investment returns of any investment and any benchmark. Any referenced benchmark does not reflect fees and expenses associated with the active management of an investment. PineBridge Investments may, from time to time, show the efficacy of its strategies or communicate general industry views via modeling. Such methods are intended to show only an expected range of possible investment outcomes, and should not be viewed as a guide to future performance. There is no assurance that any returns can be achieved, that the strategy will be successful or profitable for any investor, or that any industry views will come to pass. Actual investors may experience different results.
Information is unaudited unless otherwise indicated, and any information from third-party sources is believed to be reliable, but PineBridge Investments cannot guarantee its accuracy or completeness.
This document and the information contained herein does not constitute and is not intended to constitute an offer of securities or provision of financial advice and accordingly should not be construed as such. The securities and any other products or services referenced in this document may not be licensed in all jurisdictions, and unless otherwise indicated, no regulator or government authority has reviewed this document or the merits of the products and services referenced herein. This document and the information contained herein has been made available in accordance with the restrictions and/or limitations implemented by any applicable laws and regulations. This document is directed at and intended for institutional and qualified investors (as such term is defined in each jurisdiction in which the security is marketed). This document is provided on a confidential basis for informational purposes only and may not be reproduced in any form. Before acting on any information in this document, prospective investors should inform themselves of and observe all applicable laws, rules and regulations of any relevant jurisdictions and obtain independent advice if required. This document is for the use of the named addressee only and should not be given, forwarded or shown to any other person (other than employees, agents or consultants in connection with the addressee’s consideration thereof).
Country Disclosures:
Australia: PineBridge Investments LLC is exempt from the requirement to hold an Australian financial services license under the Corporations Act 2001 (Cth) in respect of the financial services it provides to wholesale clients, and is not licensed to provide financial services to individual investors or retail clients. Nothing herein constitutes an offer or solicitation to anyone in or outside Australia where such offer or solicitation is not authorised or to whom it is unlawful. This information is not directed to any person to whom its publication or availability is restricted.
Brazil: PineBridge Investments is not accredited with the Brazilian Securities Commission - CVM to perform investment management services. The investment management services may not be publicly offered or sold to the public in Brazil. Documents relating to the investment management services as well as the information contained therein may not be supplied to the public in Brazil.
Chile: PineBridge Investments is not registered or licensed in Chile to provide managed account services and is not subject to the supervision of the Comisión para el Mercado Financiero of Chile (“CMF”). The managed account services may not be publicly offered or sold in Chile.
Colombia: This document does not have the purpose or the effect of initiating, directly or indirectly, the purchase of a product or the rendering of a service by PineBridge Investments ("investment adviser") to Colombian residents. The investment adviser’s products and/or services may not be promoted or marketed in Colombia or to Colombian residents unless such promotion and marketing is made in compliance with decree 2555 of 2010 and other applicable rules and regulations related to the promotion of foreign financial and/or securities related products or services in Colombia. The investment adviser has not received authorisation of licensing from The Financial Superintendency of Colombia or any other governmental authority in Colombia to market or sell its financial products or services in Colombia. By receiving this document, each recipient resident in Colombia acknowledges and agrees that such recipient has contacted the investment adviser at its own initiative and not as a result of any promotion or publicity by the investment adviser or any of its representatives. Colombian residents acknowledge and represent that (1) the receipt of this presentation does not constitute a solicitation from the investment adviser for its financial products and/or services, and (2) they are not receiving from the investment adviser any direct or indirect promotion or marketing of financial products and/or services. Marketing and offering of products and/or services of a foreign financial [or securities related] entity represented in Colombia.
Promoción y oferta de los negocios y servicios de la entidad del mercado de valores del exterior [o financiera, según sea el caso] representada en Colombia.
Dubai: PineBridge Investments Europe Limited is regulated by the Dubai Financial Services Authority as a Representative Office.
Germany: PineBridge Investments Deutschland GmbH is authorised and regulated by the Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin).
Hong Kong: The issuer of this document is PineBridge Investments Asia Limited, a company incorporated in Bermuda with limited liability, licensed and regulated by the Securities and Futures Commission (SFC). This document has not been reviewed by the SFC.
Ireland: Approved by PineBridge Investments Ireland Limited. This entity is authorised and regulated by the Central Bank of Ireland.
Israel: PineBridge Investments is neither licensed nor insured under the Israeli Investment Advice Law.
Japan: This document is not, and under no circumstances is to be considered as, a public offering of securities in Japan. No registration pursuant to Article 4 paragraph 1 of Japan’s Financial Instruments and Exchange Act (“FIEA”) has been or will be made with respect to any solicitation of applications for acquisition of interests of any vehicle or any account that may be undertaken, on the grounds that any such solicitation would constitute a “solicitation for qualified institutional investors” as set forth in Article 23-13, paragraph 1 of the FIEA. In Japan, this document is directed at and intended for qualified institutional investors (as such term is defined in Article 2, paragraph 3, item 1 of the FIEA; “QIIs”). If any offering is to be made, that would be made on the condition that each investor enters into an agreement whereby the investor covenants not to transfer its interests (i) to persons other than QIIs, or (ii) without entering into an agreement whereby the transferee covenants not to transfer its interests to persons other than QIIs.
Kuwait: The offering of any security in any vehicle has not been approved or licensed by the Kuwait Capital Markets Authority or any other relevant licensing authorities in the State of Kuwait, and accordingly does not constitute a public offer in the State of Kuwait in accordance with Law no. 7 for 2010 regarding the Establishment of the Capital Markets Authority and the Regulating Securities Activities (“CMA Law”). This document is strictly private and confidential and is being issued to a limited number of professional investors: A) who meet the criteria of a Professional Client by Nature as defined in Article 2-6 of Module 8 of the Executive Regulations No. 72 of 2015 of the CMA Law; B) upon their request and confirmation that they understand that the securities have not been approved or licensed by or registered with the Kuwait Capital Markets Authority or any other relevant licensing authorities or governmental agencies in the State of Kuwait; and must not be provided to any person other than the original recipient, and may not be reproduced or used for any other purposes whatsoever.
Malaysia: PineBridge Investments Malaysia Sdn Bhd is licensed and regulated by Securities Commission of Malaysia (SC). This material is not reviewed or endorsed by the SC.
Peru: Specifically, the Interests will not be subject to a public offering in Peru. The Interests described herein have not been and will not be approved by or registered with the Peruvian Superintendency of Capital Markets (Superintendencia del Mercado de Valores, or the “SMV”) or the Lima Stock Exchange (Bolsa de Valores de Lima). Accordingly, the Interests may not be offered or sold in Peru except, among others, if such offering is considered a private offer under the securities laws and regulations of Peru. The Interests cannot be offered or sold in Peru or in any other jurisdiction except in compliance with the securities laws thereof. In making an investment decision, institutional investors (as defined by Peruvian law) must rely on their own examination of the terms of the offering of the Interests to determine their ability to invest in the Interests. All content in this document is for information or general use only. The information contained in this document is referential and may not be construed as an offer, invitation or recommendation, nor should be taken as a basis to take (or stop taking) any decision. This document has been prepared on the basis of public information that is subject to change. This information may not be construed as services provided by PineBridge Investments within Peru without having the corresponding banking or similar license according to the applicable regulation.
Singapore: PineBridge Investments Singapore Limited is licensed and regulated by the Monetary Authority of Singapore (MAS). In Singapore, this material may not be suitable to a retail investor and is not reviewed or endorsed by the MAS.
Switzerland: In Switzerland, PineBridge Investments Switzerland GmbH classes this communication as a financial promotion and is solely intended for professional investors only.
Taiwan: PineBridge Investments Management Taiwan Ltd. Is licensed and regulated by Securities and Futures Bureau of Taiwan (SFB). In Taiwan, this material may not be suitable to investors and is not reviewed or endorsed by the SFB.
United Kingdom: PineBridge Investments Europe Limited is authorised and regulated by the Financial Conduct Authority (FCA). In the UK this communication is a financial promotion solely intended for professional clients as defined in the FCA Handbook and has been approved by PineBridge Investments Europe Limited. Should you like to request a different classification, please contact your PineBridge representative.
Uruguay: The sale of the securities qualifies as a private placement pursuant to section 2 of Uruguayan law 18.627. The issuer represents and agrees that it has not offered or sold, and will not offer or sell, any securities to the public in Uruguay, except in circumstances which do not constitute a public offering or distribution under Uruguayan laws and regulations. The securities are not and will not be registered with the Central Bank of Uruguay to be publicly offered in Uruguay. The securities correspond to investment funds that are not investment funds regulated by Uruguayan law 16,774 dated 27 September 1996, as amended.
As of 31 March 2020
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