Alternative Investments

from an Institutional
Investors Perspective
University of Mannheim
Otto Hörner
2023

Introduction
Introduction
Content

 Institutional investors like pension funds, insurance companies, or sovereign wealth funds
administrate sizeable asset portfolios and invest in a broad scope of asset classes

 This lecture will focus on so called alternative asset classes like private equity, private debt,
investments in infrastructure projects, hedge funds strategies and real estate investments

 These asset classes became more and more important for investors and require a different
investment approach and knowledge in comparison to traditional (listed) investments

 The role of these asset classes in an institutional portfolio and the challenges of investing will be
explained

 The organizational set-up and other structural requirements of institutional investors will also be
discussed

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Content

1. │ Characteristics of Institutional Investors

2. │ Characteristics of Alternative Investments
3. │ Role of Alternative Investments in a Portfolio
4. │ Private Equity
5. │ Private Debt
6. │ Infrastructure
7. │ Hedge Funds
8. │ Real Estate
9. │ Operational Topics and Investment Structures
Introduction
Goals

 Develop an understanding of important issues in institutional investments, especially in so called

alternative asset classes like private equity, private debt, investments in infrastructure projects, hedge
funds strategies and real estate investments

 Understanding these asset classes and their related challenges for investors

 Learning how institutional investors are organized and how they act in the capital markets

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Introduction
CV Otto Hörner

 1983-88 Studies of Business Administration at University of Mannheim

(Degree: Diplom-Kaufmann)
 1988 Entry at BASF SE
 1988-92 Special Financing
 1992-96 Financial Planning
 1997-2000 Project-Coordination of Euro-Introduction
 2000-04 Head of Financial Planning
 2004-09 Head of Financial Controlling
 2009-14 Head of Subsidiary Financing
 Since 2014 Director Asset Management (Head of Asset Management
Infrastructure, Real Estate & ESG, Head of Asset Management Group)

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Introduction
Lecture Dates
B6: 17:15 – 18:45
Room: O 048 Seminarraum (Schloss Ostflügel)

28.02.2023 09.05.2023
Exam: 15.06.2023
07.03.2023 16.05.2023

14.03.2023 23.05.2023 Further adjustments

might be necessary
21.03.2023 30.05.2023

28.03.2023

18.04.2023

25.04.2023

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Introduction
Further Reading

 Handout gives some good guideance and overview of the relevant topics. Of equal importance
are the oral statements in the lectures and further reading recommendations
 Donald R. Chambers, Hossein Kazemi, Keith H. Black, Alternative Investments: An Allocator‘s
Approach and CAIA Level I (Two different books), CAIA Association, John Wiley & Sons Ltd.
 Chambers, D. R., K. H. Black, N. J. Nelson: Alternative Investments: A Primer for Investment
Professionals. CFA Institute Research Foundation.
 BAI Bundesverband Alternative Investments e.V. https://www.bvai.de/. On the web pages you
can find many further information like whitepapers, market studies etc,
 Fraser-Sampson, Guy; Private Equity as an Asset Class; John Wiley & Sons Ltd.
 Lhabitant, Francois-Serge; Hedge funds – Myths and Legends,; John Wiley & Sons Ltd.

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