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Keith Luke

5 Key Questions: Comparing Fees of OCIO Providers

Posted by Keith Luke on May 8, 2019

Topic: Outsourced Investing

The market for Outsourced Chief Investment Officer (“OCIO”) services has boomed over the last decade. Today, OCIO assets under management are by some estimates nearly $1.5 trillion, 2.5 times the level of just seven years ago . What’s more, industry estimates are for double digit annual growth among endowments and foundations over the next several years . Yet with this “mainstreaming” of OCIO services, why is it that fees and expenses of OCIO providers are so opaque and difficult to compare?

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The Fallacy of Manager Diversification – How “Horse Races” Can Increase, Not Reduce Risk

Posted by Keith Luke on Mar 5, 2019

Topic: Investment Strategy

On the surface, hiring two (or more) multi-asset managers to manage an entire portfolio may seem like a good idea. Intuitively, it would seem to...

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Five Questions to Ask Your Advisor:
Costs of Portfolio Management

Posted by Amy Harlacker, Keith Luke on Jul 24, 2018

Topic: Investment Strategy | Outsourced Investing

Costs matter. With expectations for lower market returns over the coming years, every basis point of net performance is particularly important. Furthermore, the compounding effect of high fees can significantly impact spending for mission over time, so understanding the true cost of portfolio management is vital, but also a challenge.

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Tax Reform:
CPI Plus More

Posted by Sharad Samy, Keith Luke, Catherine Keating on Dec 19, 2017

Topic: Governance and Policy | Industry Knowledge

It was another taxing weekend (literally) at Commonfund as we digested 1,097 pages of the conference agreement for the tax reform bill (the Tax Act) and its implications for our country and for the nonprofit and public sector investors we serve. We focused on the Tax Act’s provisions, but also its wider goal of stimulating economic growth. We also attempted to discern the implicit preferences and philosophy of this first piece of major legislation from our nation’s 115th Congress, which is expected to be passed later this week, and its implications for public policy in the years ahead.

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The Tax Man Cometh (And Not Just for the Ivies)

Posted by Sharad Samy, Keith Luke, Catherine Keating on Dec 4, 2017

Topic: Governance and Policy | Industry Knowledge

As we approach the end of calendar year 2017, the passage of significant tax reform legislation – while far from certain – seems increasingly more likely. The Senate and the House versions, which vary in some substantive ways, must be reconciled before the President can sign a bill into law. What is certain is that if passed, the tax bill will have a broad impact for most filers – corporations, individuals and tax-exempt institutions, including colleges and universities, private foundations and public charities.

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Maintaining Purchasing Power in Today’s Environment | CPI + 5%

Posted by Keith Luke, Paige L. Rabalais on Apr 24, 2017

Topic: Investment Strategy

At Commonfund, we understand the challenge institutions face of maintaining the purchasing power of their endowment. In fact, achieving a rate of return sufficient to cover inflation, distributions and investment costs – typically CPI + 5 percent – is much harder today than previously.

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