1 / Investment Policy Statement
The first step in every engagement is to work carefully with the client’s stakeholders to review and update an Investment Policy that includes all of the necessary long-term objectives, defining return objectives, portfolio preferences and clear, appropriate benchmarks.
2 / Economic Outlook
Maintain an asset allocation framework based on careful firm-wide macroeconomic projections, including views on global economic growth, interest rates, central bank policy, fiscal policy, and corporate and consumer economic fundamentals.
3 / Asset Allocation
Add value through sound decisions based on the team’s decades of investment experience identifying the level and location of portfolio risk to form a view on the current opportunity among asset classes and secondary factors such as growth/value, high yield/investment grade, U.S./Non-U.S., large/small, private/public, etc.
4 / Manager Sourcing and Selection
More than 500 interviews each year ensures a robust roster of best-in-class managers to select from. Typical managers not only deliver clearly defined process-driven alpha, but typically are more concentrated in their holdings, limit their assets under management and deliver less-volatile returns.
5 / Operational Due Diligence
Operational due diligence is conducted independent of the investment team with a focus on organizational and back-office evaluation, financial statement analysis, regulatory review and counterparty confirmation. The operational due diligence team can veto any manager idea that does not meet its stringent criteria.
6 / Portfolio Review and Reporting
Designed to serve a select group of endowment and foundation clients, the team offers personalized client meeting reviews and customized reporting.