Outsourced Investing

The Billion Dollar Dilemma

Posted by Commonfund on Aug 12, 2016

Topic: Governance and Policy Industry Knowledge Outsourced Investing

Finding the right investment governance model for your institution isn’t about size. In the hyper-competitive world of endowment management, something curious happens when the word used to describe the size of an endowment changes from starting with the letter “m” to a word that starts with the letter “b.” Yes, Billion. With a “B.”

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Deciding on an OCIO Provider: Three Factors to Consider

Posted by Bill Jarvis, Executive Director, Commonfund Institute on May 17, 2016

Topic: Governance and Policy Industry Knowledge Investment Strategy Outsourced Investing

One of the most important aspects of the success of an organization’s OCIO model is defining the respective roles and responsibilities of the institution’s board, staff, investment committee and the outsourced CIO. Investment committees should think carefully about the institution’s ultimate goals in order to articulate objectives that are understandable and clear.

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What is Outsourced Investment Management?

Posted by Bill Jarvis, Executive Director, Commonfund Institute on Apr 14, 2016

Topic: Governance and Policy Industry Knowledge Investment Strategy Outsourced Investing

Outsourced investment management, once primarily a solution for small institutions with limited resources, is now used by a broad range of long-term investors. When properly implemented, outsourcing can help institutions with both large and small asset pools to address portfolio complexity and risk management challenges.

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Six Key Questions To Ask OCIO Providers

Posted by Sarah Clark, Managing Director, Head of Commonfund Strategic Solutions Group on Feb 4, 2016

Topic: Governance and Policy Industry Knowledge Outsourced Investing

Today, few OCIOs that serve nonprofits are total institutional partners. Value-added OCIO providers must no longer view an institution through a purely investment-related, or even finance-related, keyhole. Many institutions require a broader and deeper approach—one that addresses wide-ranging institutional factors that extend well beyond investment management. Here are six key questions that can help you find a provider who takes a holistic approach.

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Outsourcing: writing your rfp

Posted by Brett Lane, Managing Director on Nov 12, 2015

Topic: Outsourced Investing

Once an institution decides to pursue the outsourced CIO or investment office option, it usually leads to the creation of a request for proposal, or RFP. Considering that the outsourced model is a strategic partnership with some degree of shared fiduciary responsibility and a greater degree of discretion, it is critical to research and ask the right questions during the evaluation process. Based on best practices of the outsourced ser- vice model, the following are some critical areas that should be taken into consideration and researched during the RFP process.

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5 Things to Consider When Choosing an OCIO

Posted by William F. Jarvis, Managing Director, Commonfund Institute | John Griswold, Founder and Senior Advisor, Commonfund Institute on Oct 1, 2015

Topic: Industry Knowledge Outsourced Investing

There are typically two “essential P’s” to consider when assessing potential OCIO providers — People and Processes. But once that due diligence is completed, and the evaluation process enters the final stretch (that is, the waning pages of an RFP), it comes down to two more Ps that are just as critical: Performance and Price

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Download Your Guide to Outsourcing

Posted by Commonfund on Jul 21, 2015

Topic: Industry Knowledge Outsourced Investing

Is your Investment Committee focused on the right strategic objectives or do they get bogged down in tactical issues like reviewing investment managers? Your committee members only have a limited number of hours together during the year and maximizing their effectiveness is key. Many non-profits institutions have decided to pursue outsourcing investment management to a fiduciary partner who can dedicate the appropriate time, resources and expertise. If you are considering this approach, it’s critical to know the right questions to ask during the evaluation process.

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Commonfund’s Guide to Outsourcing

Posted by Brett Lane, Managing Director on Mar 17, 2015

Topic: Industry Knowledge Investment Strategy Outsourced Investing

Commonfund’s Guide to Outsourcing

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Form follows function in multi-asset investing

Posted by Steve Snyder, Managing Director, Head of Multi-Asset Program, Commonfund on Sep 17, 2014

Topic: Asset Allocation Industry Knowledge Outsourced Investing

Interest in multi-asset investing is growing and the inflows confirm it: Institutional assets committed to multi-asset investing are reported to have increased to $773 billion at year-end 2013, up from $442 billion at year-end 2010, while the second quarter of 2014 represented the 11th consecutive quarter of fund flows into the strategy. The trend isn’t confined to the U.S., either, as industry data indicate that in Europe some €62.5 billion was committed to multi-asset funds in the first six months of 2014.

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Of apples, oranges and onions: assessing OCIO performance and fees

Posted by William F. Jarvis, Managing Director, Commonfund Institute | John Griswold, Founder and Senior Advisor, Commonfund Institute on Aug 17, 2014

Topic: Industry Knowledge Outsourced Investing

Nearly all CFOs and investment committees consider it. And more than ever are acting upon it: investigating the possibility of an Outsourced CIO (OCIO) to manage their institution’s investments. When assessing potential OCIO providers, institutions typically first cover two “essential Ps”—the providers’ People and Processes.

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Nonstop Non-profit dedicated OCIO

Posted by Sarah Clark, Managing Director, Head of Commonfund Strategic Solutions Group on Apr 12, 2014

Topic: Outsourced Investing

As the OCIO model has evolved and expanded in recent years, a number of financial providers have entered markets they may not fully understand—markets such as nonprofit institutions. Their arrival has served to spotlight the differences between generalist practitioners and specialists dedicated to nonprofits. In my experience in the OCIO arena, I have found that nonprofit institutions are often better served by an OCIO provider with a full staff of professionals who are focused solely on nonprofits than by a generalist with a nonprofit's practice among several other competing business units.

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Subscribe & Manage Your Frequency to Insights Blog

Posted by Commonfund on Jan 5, 2014

Topic: Asset Allocation Equities Fixed Income Governance and Policy Hedge Funds Industry Knowledge Market Commentary Operating Assets Outsourced Investing Partners People Private Capital Quant Strategies Responsible Investing Risk Management

Subscribe to the Insights Blog from Commonfund to stay informed with the latest information for nonprofit investors and the public sector.

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Outsourced Investment Management: An Overview

Posted by Bill Jarvis, Executive Director, Commonfund Institute | John Griswold, Founder and Senior Advisor, Commonfund Institute on Nov 19, 2013

Topic: Outsourced Investing

Once seen primarily as a solution for small institutions with limited resources, outsourcing of the investment management function is now widespread, with a broad range of long-term investors turning to the outsourced chief investment officer model. Properly implemented, outsourcing can help institutions with both large and small asset pools to address portfolio complexity and risk management challenges, benefit from more timely decision-making and contend with an increasingly rigorous regulatory environment, while enabling trustees to focus on improving institutional governance.

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6 keys to choosing the right outsourced CIO

Posted by Sarah Clark, Managing Director, Head of Commonfund Strategic Solutions Group on Aug 12, 2013

Topic: Industry Knowledge Investment Strategy Outsourced Investing

Not long ago, the definition and scope of an “Outsourced CIO” (or OCIO) was narrowly defined. It generally meant investment management—a traditional consulting model in which the process of interviewing managers was delegated to an outside provider. Over time, however, as institutions’ internal staffs have been reduced and stretched, the definition of the model has expanded and evolved in kind. While OCIO was once regarded as merely an investment advisory function, it now can be about a total partnership that delves into deeper issues than an institution’s investment portfolio.

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Top of The Charts

Posted by Commonfund on Apr 12, 2013

Topic: Industry Knowledge Outsourced Investing

Investment complexity—as measured by ever-increasing allocations to alternative investment strategies—has risen significantly in recent years. But, nonprofits have not increased staff resources commensurately. As allocations to alternatives have doubled, or even tripled, among a representative sample of educational endowments and foundations, staffing has increased by about one-half a full-time equivalent (FTE) over several years. Two studies show this.

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