Misguided belief in outperformance to blame for bonus culture – academic

first_imgIn practice, he said, many arrangements between pension funds and asset managers regarding bonuses involve performance that cannot assessed, due to lack of expertise.He said too many pension board members believed that an academic course lasting just a few days was sufficient to challenege hedge fund managers, something he described as a “grave misconception”.He also criticised the ease with which pension funds outsource work by “simply by throwing it over the fence to an asset manager”.“Nobody lends their car to somebody without ensuring they have a driving licence,” Koelewijn said. “But we just put our money outside, and are confident everything goes well.”The professor called for an increase in expertise among pension trustees.He also claimed the DNB and the AFM, both regulators in the Netherlands, were drawing up rules that were too detailed, failing to take into account the people at which they are aimed. Outperformance is almost impossible, and pension funds’ willingness to pay for it is contributing to the current bonus culture, according to Jaap Koelewijn, a professor of corporate finance at Nijenrode Business University.Speaking at a seminar on fee policy and bonuses at Dutch pension funds, Koelewijn argued that a number of studies show that outperformance is hardly ever achievable.“Asset managers suggest they can outperform, and clients are willing to believe this,” he said. “It is a kind of magic we are kidding ourselves into.”However, Koelewijn, who is also an independent adviser on financial supervision, acknowledged that bonuses were not necessarily negative in concept, as long there was a clear relation between the reward and the delivered result.last_img read more

Syracuse seniors shine in final home game in 1-0 walk-off win

first_imgRachel Burkhardt embraced her pitcher, AnnaMarie Gatti, in the dugout. The senior utility player had just lifted SU to a walk-off win, but in that moment all she could do was commend SU’s starter.“You threw the perfect game,” Burkhardt kept repeating.Gatti’s game statistically wasn’t perfect – she allowed three hits and a walk – but she threw what she needed to help Syracuse (28-19, 9-12 Atlantic Coast) get the shutout over North Carolina (28-25, 15-8), 1-0 at Skytop Softball Stadium on Saturday. Gatti, with help from the rest of the field, was able to keep UNC out of scoring position for most of the game.“I don’t fear (UNC), I respect them but I want to beat them,” Gatti said.Earlier this season against Louisville she called UNC one of her favorite teams to pitch against. During Saturday’s matchup, Gatti struck out five batters including the Tar Heels’ Brittany Pickett, who was responsible for the three-run home run that secured a win for UNC the day before.AdvertisementThis is placeholder textIt was the top of the seventh and the score was still 0-0 when UNC’s power hitter was at the plate for her final at-bat. Pickett was behind in the count when Gatti threw her final strikeout of the day down the middle. Pickett froze to put the first out of the final inning on the board.“It could’ve gone either way, obviously,” Gatti said, “But it fell in my favor and I’m happy about it.”It wasn’t until that inning that UNC advanced beyond first base. It had chances prior to the inning, most notably in the sixth.For what senior Sammy Fernandez called the best play of the game, catcher Michala Maciolek launched the ball to Fernandez at second base to catch UNC outfielder Destiny DeBerry stealing.“She threw a perfect ball,” Fernandez said. “I didn’t even have to move my glove, the tag was just there.”With two outs in the seventh inning, Kristina Burkhardt became the first UNC player to reach second after Gatti threw a wild pitch. In all the noise Maciolek wasn’t able to find the ball immediately, and Burkhardt got to third base in position to score what could have been the winning run. But the next batter grounded out and SU was in the clear.“I don’t even think we kind of flinched at (the runner on third),” Rachel Burkhardt said. “We were just like you know what, it’s fine. Like we were going to get the last out, it’s not a really big deal.”It all came down to the Burkhardt, who led the inning off for SU and launched a walk-off home run over the centerfield fence. The senior did what her fellow Syracuse seniors had done all day: she delivered.“I pulled (the seniors) aside before the game,” SU head coach Mike Bosch said, “and I said ‘hey, all six of you are in the lineup today, it’s your senior day so you can make or break what’s going to happen on the field’ and they did.” Comments Published on April 28, 2018 at 5:33 pm Contact Kaci: [email protected] Facebook Twitter Google+last_img read more