How smaller endowments, shut out of razzle-dazzle investments, make do

Smaller endowments usually aren’t wealthy enough to land high-powered private equity or hedge fund investments. So, they turn elsewhere. Here is how an outsourced chief investment officer (OCIO) partnership can help.

Key takeaways from the OCIO article

  • For a long time, the most prestigious university endowments in the US have been rewarded by replicating the famed Yale model, benefiting from a mix of alternative assets that had high thresholds for entry.
  • Investment professionals at smaller endowments under $1 billion have had to find other investment vehicles that can potentially deliver stellar returns.
  • Arizona State University made the jump early on to outsourced CIO (OCIO) managers to rewrite their strategic asset allocations.
  • After partnering with BlackRock in 2017, ASU CIO Jeffrey Mindlin said the partnership had a “material impact” on its endowment.

OCIO for endowments and foundations

BlackRock’s endowments and foundations OCIO team manages bespoke investment solutions designed to address the unique challenges of our clients.
OCIO for endowments and foundations