TIGER 21 Releases Q2 Allocation



Published On

June 9, 2014

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TIGER 21 RELEASES Q2 ALLOCATIONStaff / April 18, 2013TIGER 21 has released its latest asset allocation report,providing a snapshot of how an importantsegment of North America’s affluent investors position their portfolios for wealth preservation. Thereport represents investment exposure as of the end of the second quarter of 2013.

Key out-takes from the latest report include a pausing of trending movements in private equity and realestate. While there were no drastic changes in allocation, the largest shifts were in private equity, realestate and cash.

Allocations to cash and cash equivalents decreased 2 percentage points from 12% in the first quarter of2013 to 10% in the second quarter. The 10% allocation marks the lowest allocation to cash by memberssince the third quarter of 2008.

Real Estate allocation increased from 19% in the first quarter of 2013 to 21% in the second quarter –after either remaining flat or declining for five consecutive quarters.

Private equity allocation decreased to 20%, a decline of 2 percentage points from the first quarter of2013, yet still 2 percentage points above its second quarter 2012 mark of 18%.

“The reverse in the private equity numbers certainly does not indicate a disfavor by Members with thatasset class. It still makes up a significant portion of Members’ portfolios, and is 11 percentage pointshigher than the low of 9% that was recorded in the fourth quarter of 2010.

“Rather, as prudent investors, TIGER 21 Members hold a cautiously optimistic view of equities in generaland slight shifts in allocation can be expected as some investments mature and members evaluate newopportunities,” said Thane Stenner, managing director and founding member of TIGER 21 Canada.

“Likewise, we are not surprised to see a real estate allocation number of 21%. Combined with public andprivate equities, real estate comprises roughly 60% of Members’ portfolios. It is as important asset classand one that many of our members have significant experience in,” added Stenner.

TIGER 21 includes a cross-section of serial entrepreneurs, Wall Street professionals, money managersand corporate executives who meet monthly in small group settings to share investment ideas andpersonal experiences.

Originally published on advisor.ca