CHARTWELL CONSULTING: Research

“The farther backward you can look,
the farther forward you are likely to see.”
Sir Winston Churchill

We think you will find the following recent issues of Chartwell Review enlightening and entertaining. Chartwell has regularly published this quarterly review of the investment markets since 1994. (Please contact us if you wish to obtain issues earlier than those available on our online archives.) In addition, we invite you to review some of the articles written by Chartwell professionals on specific investment topics of interest to current clients.

Also on this page are links to other resource materials, legislative and compliance updates, and websites you may find helpful. If you have a particular investment strategy or plan management question, please don’t hesitate to contact us. Chances are we’ve researched the issue at some point.

The publications listed below are stored in the Adobe PDF file format. You will need to have Adobe Acrobat Reader software installed on your computer to access these files. Acrobat Reader may be downloaded free of charge from the Adobe website.

Chartwell Publications: Newsletters

Chartwell Publications: Research Articles

2009 PLANSPONSOR DC Survey Summary (June 2010)
Each year for the last fourteen years, PLANSPONSOR magazine has conducted a survey of the defined contribution marketplace to identify industry trends. The attached document contains a summary of that survey, along with commentary on the notable highlights.
Chartwell Views - Market Volatility’s Impact on Stock Valuations (December 2008)
In our first Chartwell Views piece, issued in early October, we indicated that the post-Presidential Election period might be a good time to revisit valuations and volatility and assess whether the markets had stabilized enough for it to be “safe to go back in the water.” During the third week of November, the S&P 500 closed at 750, below the 776 bottom reached in the last bear market. In our latest Chartwell Views, we provide an analysis of why now might be a good time to begin rebuilding equity allocations.
Chartwell Views - Interesting Times (October 2008)
September and October have been dominated by a series of financial crises altering the structure of the financial system worldwide. This has precipitated a “crisis of confidence” which has resulted in frozen credit markets and plummeting equity markets. This paper provides our thoughts on how institutional investors should adjust their investment strategies both tactically and strategically to weather these extraordinary times.
Non-U.S. Investing: Where Do We Go From Here? (June 2007)
International markets have outperformed U.S. equities for the past five years. Investors with strong allocations to international equities have been handsomely rewarded. How long will this streak last? Should investors be reducing international equity exposure at this time? This research paper provides some perspectives on those issues and addresses “Where do we go from here.”
Chartwell’s Advisory Scorecard (March 2006)
Each January we look ahead and try to provide some perspective on the upcoming period. Here is an update on how our thoughts from January 2005 have worked out, together with our current thinking on selected issues.

To access the Chartwell archives, click below:

Fiduciary Focus

In 2005, the SEC turned its attention to investigating whether there is a conflict of interest issue in the investment consulting community. Twenty-five consulting firms were sent letters requesting information on their practices and procedures. The following pieces contain the Questionnaire that was sent out, and the resulting Findings Report that was issued by the SEC on May 16, 2005. Primary focus is on the fiduciary status of consultants and identifying sources of revenue in multi-practice consulting firms.

Recent controversies at various investment management and consulting practices have reminded institutional investment officers and committees how important it is to engage in good fiduciary practices. The Uniform Prudent Investor Act provides the guiding principles in this regard. The following articles, from MorningstarAdvisor.com, were written by an expert in the field and provide a highly readable review of fiduciary “dos and don’ts.”

Whether you are a plan sponsor or a fund trustee, you have fiduciary responsibilities. To help you understand those duties and provide you with an audit trail, we have posted the Fiduciary Investment Compliance Checklist excerpted from Procedural Prudence for Fiduciaries, The handbook for The Management of Investment Decisions. This useful reference guide was prepared by Donald B. Trone, William R. Allbright, and Philip R. Taylor. Click below to view the handy eight-page checklist:

Fiduciary Investment Compliance Checklist

Links

Below you will find hyperlinks to some websites we’ve found useful as sources of research information for the plan sponsor community. These links are periodically updated or changed as we uncover additional ones, so check back with us.

To obtain more information on retirement plan administration issues and regulations, please visit the following websites:

www.ebri.org
Founded in 1978, the Employee Benefits Research Institute is dedicated to conducting research and advancing public knowledge and understanding of employee benefits and their importance to the national economy.
www.dol.gov
The official website of the U.S. Department of Labor.

We recommend the following sites for general financial information:

www.smartmoney.com
Concentrating on the many aspects of personal finance, SmartMoney is a joint publishing venture of Dow Jones & Company and Hearst Communications.
www.bloomberg.com
Visit Bloomberg.com for the latest financial news and information.
www.ceoexpress.com
Although this site was “designed by a busy executive for busy executives,” you don’t have to be a chief executive officer to benefit from the wealth of information presented here. Take a look!