Commonfund’s Investments with Diverse Managers Continue to Grow

Commonfund continues to build exposure to diverse managers¹ as a source of return and diversification for our clients. In 2024, we closed the year with allocations to 50 different diverse managers, up from 44 at the end of 2023, with representation in every asset class in which we invest.

These managers comprise over 12 percent of our assets. Diverse managers are subject to the same rigorous due diligence process as all Commonfund managers, and it is a testament to their talent, skill and alpha generation that 98 percent of the diverse manager assets are in commingled portfolios, where they have a significant impact on the largest number of client portfolios.

When looking at the ethnic distribution of our diverse managers, 31 percent of the assets are invested with African Americans, 22 percent with those representing two or more races, and 30 percent with those of Asian descent. White women have 11 percent of these assets and Latinos 4 percent. From a gender perspective, 26 percent of our diverse assets are managed by African American women, and 48 percent are invested with women-of-color more broadly. Our investment teams remain committed to identifying and employing investment talent wherever it resides.  

1. Valuations as of September 30, 2024. Commonfund diverse managers are generally defined as investment firms with 25 percent or more diverse leaderships, as measured by ownership, profit participation or executive leadership, and 25 percent or more investment team diversity, which may include members of the leadership team. Diverse managers include women, Black/African American, Latinos/Hispanic, Asian, people of indigenous descent, veterans and people with disabilities and other diverse persons potentially not captured in these categories.