Insights
Nonprofits were busy hiring investment consultants and outsourced cios to oversee their portfolios this year including seven that swapped out their incumbent for new relationships and five that handed over their investment management responsibilities to discretionary providers from either an internal team or a general consultant.
Several nonprofit institutions changed their asset allocations or investment policies this year, boosting allocations to private equity and public equities.
Several prominent foundations and endowments changed investment heads over the course of 2024.
Investment consulting and advisory firms that cater to endowments, foundations and health systems experienced further consolidation in 2024, as many merged or were acquired while others opened shop or shuttered.
Institutional investors may be keen to make portfolio adjustments with the U.S. presidential election just a week away, but the industry finds it best to avoid making decisions based on polling predictions and market volatility.
Surging demand for digital infrastructure presents an exciting growth opportunity, but investing in this fast-growing space requires insight into the complexities and risk-reward dynamics of the sector. Meketa Investment Group’s Lisa Bacon, Colin Bebee, and Adam Toczylowski outline three key considerations for investors when incorporating digital infrastructure into their portfolio allocations.
Global equity strategies remain a compelling opportunity for institutions, according to one investment consultant who encourages greater use of active approaches.
Nonprofits still see opportunities in alternative asset classes, like smaller or specialized buyout strategies, venture funds or private debt strategies that benefit from macro trends like the higher interest rates, rapid development of artificial intelligence or transition to clean energy.
2023 was supposed to be a down year for foundations and endowments with a potentially recessionary environment, however, equity and bond returns came out in the green, thanks in part to strong fourth quarters, leaving investors and allocators with a more optimistic outlook for their portfolios entering 2024.
The flexibility and environmental impacts of a portfolio targeting net-zero greenhouse gas emissions enhances the ability of endowments to support climate change solutions without sacrificing returns, according to endowments and their investment consultants.