Provider Profiles
Cambridge Associates
| Profile | |
| Business Model/Type§ | OCIO only |
| Year Entered Into OCIO Business | 2001 |
| No. of Relationship Managers/Salespeople | |
| No. of OCIO Portfolio Managers | |
| OCIO % of Total Firm Revenue | 18% |
| No. of Clients, Full Discretion | 111 |
| Full Discretionary Assets | |
| Total Full Discretionary OCIO Assets | $36.9B |
| Discretionary Assets by Fund Type | |
| Defined Benefit | $13.2B |
| 401(k), 403(b), Other DC | |
| Endowments/Foundation | $15.3B |
| Health Care | $2.3B |
| Other | $6.1B |
| Portfolio Construction |
A successful OCIO portfolio is one that aligns investment risks with the operating risks, mission, and values of the enterprise it supports, and is populated with high-alpha managers that maximize returns within those risk tolerances. That requires a custom investment policy, a separately managed account that provides direct ownership of funds in the portfolio (avoid multi-client pooling products), and flexibility to build around the exceptional legacy investments. We conduct an enterprise review to understand the portfolio’s role in the client’s financial model, and we draft an Investment Policy Statement (IPS) that incorporates spending policy, return objectives, roles and responsibilities, strategic assets, benchmarking, and reporting requirements. The IPS ensures appropriate diversification while providing flexibility for the OCIO to pursue highest conviction strategies sourced by Cambridge Associates research. |
| § | OCIO only: Open-architecture (no proprietary products used): Investment outsourcing is only business line. |
| OCIO + other: An open-architecture/manager-of-manager investment outsourcing platform as one of multiple business lines. | |
| Implemented consulting: i.e. consulting firm that also has discretion over assigned assets. | |
| Proprietary/non-proprietary: An investment outsourcing platform that offers proprietary products alongside non-proprietary products. |