Commonfund’s First Invitational Diverse Manager Day

January 23, 2020 |
1 minute read
|

On January 16th Commonfund held its first invitational Diverse Manager Day. The day was made possible as a result of the success we had from submissions to the Diverse Manager Portal launched last fall.

Commonfund developed the dedicated Diverse Manager Portal1 as part of our effort to expand our Diverse Manager Database; to accelerate the inclusion of diverse managers in client portfolios; and to give clients access to a broader array of investment talent. The Portal was open for three months from September 1st to December 1st and invited equities, fixed income and credit, hedge fund and real estate managers to submit performance, a presentation and a due diligence questionnaire for Commonfund review.

Prior to the Portal’s launch, the Commonfund Diverse Manager Database had identified a known universe of approximately 994 diverse managers across all asset classes, 672 of which were equities, fixed income and credit, hedge funds and real estate focused.

Over the three-month period that the Portal was open, we received 124 submissions from 64 investment firms. Approximately 53 percent of the submissions were for equities, 24 percent for hedge funds, 17 percent for fixed income, four percent for private credit and two percent for real estate:

Strategy Composition of Diverse Manager Day Submissions

The distribution of diversity of submissions is more complex, but the following chart gives a sense of the balance of submissions among women, minorities, veterans, and those with disabilities.

After completing full qualitative and quantitative analysis of all 124 submissions, Commonfund invited nine managers to the Diverse Manager Day to present to our equity, fixed income and hedge fund teams.

We met with three equity managers, three hedge funds, and three fixed income managers that spanned strategies as varied as small cap US, emerging and frontier markets, healthcare, convertibles, fixed income and high yield.

Diversity Composition of Diverse Manager Day Submissions

It is too early to determine whether any of these managers will be included in client portfolios, but it is an important step in the expansion of our diverse manager investment efforts.

Read more about the differences between minority and diverse managers.

Visit our Commonfund website today to learn more about responsible investing. 

1 Diverse managers are defined by 33% or greater diverse ownership at the time of investment. Private investment manager ownership stakes may be diluted over time. Diverse managers include US citizens who are people of color, women, veterans, people with disabilities and “others” not captured by the preceding categories.

Caroline Greer

Author

Caroline Greer

Managing Director

Disclaimer

Certain information contained herein has been obtained from or is based on third-party sources and, although believed to be reliable, has not been independently verified. Such information is as of the date indicated, if indicated, may not be complete, is subject to change and has not necessarily been updated. No representation or warranty, express or implied, is or will be given by The Common Fund for Nonprofit Organizations, any of its affiliates or any of its or their affiliates, trustees, directors, officers, employees or advisers (collectively referred to herein as “Commonfund”) or any other person as to the accuracy or completeness of the information in any third-party materials. Accordingly, Commonfund shall not be liable for any direct, indirect or consequential loss or damage suffered by any person as a result of relying on any statement in, or omission from, such third-party materials, and any such liability is expressly disclaimed.

All rights to the trademarks, copyrights, logos and other intellectual property listed herein belong to their respective owners and the use of such logos hereof does not imply an affiliation with, or endorsement by, the owners of such trademarks, copyrights, logos and other intellectual property.

To the extent views presented forecast market activity, they may be based on many factors in addition to those explicitly stated herein. Forecasts of experts inevitably differ. Views attributed to third-parties are presented to demonstrate the existence of points of view, not as a basis for recommendations or as investment advice. Market and investment views of third-parties presented herein do not necessarily reflect the views of Commonfund, any manager retained by Commonfund to manage any investments for Commonfund (each, a “Manager”) or any fund managed by any Commonfund entity (each, a “Fund”). Accordingly, the views presented herein may not be relied upon as an indication of trading intent on behalf of Commonfund, any Manager or any Fund.

Statements concerning Commonfund’s views of possible future outcomes in any investment asset class or market, or of possible future economic developments, are not intended, and should not be construed, as forecasts or predictions of the future investment performance of any Fund. Such statements are also not intended as recommendations by any Commonfund entity or any Commonfund employee to the recipient of the presentation. It is Commonfund’s policy that investment recommendations to its clients must be based on the investment objectives and risk tolerances of each individual client. All market outlook and similar statements are based upon information reasonably available as of the date of this presentation (unless an earlier date is stated with regard to particular information), and reasonably believed to be accurate by Commonfund. Commonfund disclaims any responsibility to provide the recipient of this presentation with updated or corrected information or statements. Past performance is not indicative of future results. For more information please refer to Important Disclosures.

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Disclaimer

Certain information contained herein has been obtained from or is based on third-party sources and, although believed to be reliable, has not been independently verified. Such information is as of the date indicated, if indicated, may not be complete, is subject to change and has not necessarily been updated. No representation or warranty, express or implied, is or will be given by The Common Fund for Nonprofit Organizations, any of its affiliates or any of its or their affiliates, trustees, directors, officers, employees or advisers (collectively referred to herein as “Commonfund”) or any other person as to the accuracy or completeness of the information in any third-party materials. Accordingly, Commonfund shall not be liable for any direct, indirect or consequential loss or damage suffered by any person as a result of relying on any statement in, or omission from, such third-party materials, and any such liability is expressly disclaimed.

All rights to the trademarks, copyrights, logos and other intellectual property listed herein belong to their respective owners and the use of such logos hereof does not imply an affiliation with, or endorsement by, the owners of such trademarks, copyrights, logos and other intellectual property.

To the extent views presented forecast market activity, they may be based on many factors in addition to those explicitly stated herein. Forecasts of experts inevitably differ. Views attributed to third-parties are presented to demonstrate the existence of points of view, not as a basis for recommendations or as investment advice. Market and investment views of third-parties presented herein do not necessarily reflect the views of Commonfund, any manager retained by Commonfund to manage any investments for Commonfund (each, a “Manager”) or any fund managed by any Commonfund entity (each, a “Fund”). Accordingly, the views presented herein may not be relied upon as an indication of trading intent on behalf of Commonfund, any Manager or any Fund.

Statements concerning Commonfund’s views of possible future outcomes in any investment asset class or market, or of possible future economic developments, are not intended, and should not be construed, as forecasts or predictions of the future investment performance of any Fund. Such statements are also not intended as recommendations by any Commonfund entity or any Commonfund employee to the recipient of the presentation. It is Commonfund’s policy that investment recommendations to its clients must be based on the investment objectives and risk tolerances of each individual client. All market outlook and similar statements are based upon information reasonably available as of the date of this presentation (unless an earlier date is stated with regard to particular information), and reasonably believed to be accurate by Commonfund. Commonfund disclaims any responsibility to provide the recipient of this presentation with updated or corrected information or statements. Past performance is not indicative of future results. For more information please refer to Important Disclosures.