In the midst of today’s volatile economic and policy landscape, collective learning has become not just beneficial but essential for institutional investors. The nonprofit sector as a whole is facing a number of unforeseen challenges—from uncertainty around federal funding and donor fatigue to rapidly shifting policy environments that directly impact the populations they serve.
Approaching these challenges without collaboration may lead to unseized opportunities or divergence from an institution’s mission. However, when institutional investors come together to share knowledge, strategies, and lessons learned from real-life situations, they can gain a collective strength that fosters innovation and resilience.
Collective learning allows institutions to move beyond competition and into collaboration, creating space for shared problem-solving and peer-driven solutions. Through peer networks and learning communities—such as Commonfund Institute’s Investment Stewardship Academy—senior staff, boards of trustees and investment committee members can come together to share information and learn strategies to help them adapt faster to changes that seem to come every day. Intimate in-person and virtual gatherings provide timely opportunities to exchange insights on stewardship and governance, resource alignment (human capital and financial), spending considerations, and paths for persevering in times of challenge, ensuring that no institution has to face these obstacles alone and take risks blindly.
Contributing to industry-wide studies and research efforts through initiatives such as the Commonfund Benchmarks Studies also plays a critical role in this learning process. When institutions share their data and experiences, they help build a more comprehensive picture of the sector’s challenges and successes. By comparing investment and governance policies and practices, metrics of impact, financial stability (or lack thereof) and key concerns with others, institutions can gain a better understanding of where they stand and how they can grow and evolve through these times of change. Peer benchmarking not only helps identify areas for improvement and evolution but also sheds light on best practices. It’s a vital part of staying accountable and resilient in an increasingly complex environment.
In times of uncertainty, shared insights and collective learning become more important than ever. Together we can empower nonprofits to influence policy, fight back against existential threats, secure valuable funding, and build a stronger, more equitable sector—one that supports institutional investors in fulfilling their institutions’ missions.
Commonfund Institute is dedicated to the advancement of investment knowledge and the promotion of best practices in financial management. As the center of our education and research activities designed for long-term investors, the Institute creates space and opportunities for collaboration and learning to help ensure that no institution has to navigate an uncertain future alone. If you would like to be a part of our community of learning, please reach out to us to find out how you can join us for the Investment Stewardship Academy at Yale University this coming June 8-11 or participate in one of our upcoming Commonfund Benchmarks Studies for higher education endowments, private and community foundations (fielding through May 30), or K-12 independent schools, at cfinstitute@commonfund.org.
