Timothy Yates, Jr.

The Misperception of Illiquid Investments

Posted by Kent Scott, Paul Von Steenburg, Timothy Yates, Jr. on May 15, 2017

Topic: Asset Allocation | Industry Knowledge | Investment Strategy | Outsourced Investing | Real Assets | Risk Management

With many market participants expecting low nominal returns across traditional asset classes in the coming years, investors may be looking to increase their exposure to illiquid asset classes such as private equity and venture capital. This article addresses head-on, investors’ misperception about illiquid investments: they aren’t as illiquid as many fear.

Read Now

What, me? Illiquid?

Posted by Kent Scott, Paul Von Steenburg, Timothy Yates, Jr. on Oct 1, 2013

Topic: Industry Knowledge | Private Capital

In the wake of the Global Financial Crisis, institutional investors were rightfully concerned about the liquidity profiles of their long term portfolios. Although markets have recovered substantially since the depths of that crisis, illiquidity remains an important topic with lingering concerns about locking up capital for 10-plus years.

Read now

‘What, me? Illiquid?’

Posted by Kent Scott, Paul Von Steenburg, Timothy Yates, Jr. on Apr 12, 2013

Topic: Industry Knowledge | Private Capital

Although it has been five years since the collapse of Lehman Brothers—an event that transformed a bad recession into a global financial crisis—the scars of that traumatic episode remain etched in the psyche of many institutional investors. We have new worst-case scenarios in our risk models and a greater appreciation for so-called “black-swan” or “left-tail” events. Nowhere is this lingering fear more palpable than in the consideration of illiquid investments as investors continue to think through the amount of capital to lock up in “illiquid” strategies. Because of this recent history and uncertainty about the future, we often hear investors ask, “Why should I lock up capital for 10-plus years? And if I should, how much?”

Read Now