Non-Traditional Assets for Reserve Portfolios

As sovereign reserves swell and traditional fixed-income yields remain historically low or volatile, central banks and sovereign wealth funds are increasingly looking towards non-traditional assets to meet their long-term return and diversification objectives. This course is designed to provide a comprehensive, critical evaluation of assets such as infrastructure, real estate, private equity, and structured credit within the specific constraints and mandates of reserve management. It goes beyond the typical institutional investor perspective, focusing on issues unique to central banks, including liquidity, safety, legal mandates, and operational complexity. Participants will learn how to integrate these assets into a risk-averse framework, moving beyond the conventional focus on government bonds and high-grade corporate debt. We will analyze the risk-return profiles and the necessary governance structures required to manage these complex, illiquid investments effectively.