Why "Disclosed" Qualifier Foundation Advocate and our related company, FoundationMark, very consciously uses the qualifying term "disclosed" whenever referring to investment expenses for a very simple reason, foundations are supposed to break out their overall expenses and allocate which were attributable to investing and which were for charitable purposes, but we don't … [Read more...] about Disclosed Investment Expenses
Foundations and Endowments: A Case for Risk
Similar Yet DistinctMost people consider foundations and endowments to be essentially interchangeable entities as both can be viewed as pots of money that exist to provide charitable support to nonprofits. But if you peel back the first layer of the onion, you will see structural differences between the two that can have important implications on their investment … [Read more...] about Foundations and Endowments: A Case for Risk
Foundations and Endowments: Cousins, not Twins
Similar Yet DistinctMost people consider foundations and endowments to be essentially interchangeable entities as both can be viewed as pots of money that exist to provide charitable support to nonprofits. But if you peel back the first layer of the onion, you will see structural differences between the two that can have important implications on their investment … [Read more...] about Foundations and Endowments: Cousins, not Twins
Bend it Like ….Markowitz
The economist Harry Markowitz won a Nobel prize for his work on Modern Portfolio Theory (MPT). One of the core concepts of MPT is that diversifying an investment portfolio can change the overall risk/return profile of the portfolio as a whole. MPT can most easily be represented graphically. If one had a list of assets classes with expected returns and expected volatility, … [Read more...] about Bend it Like ….Markowitz
The Endowment Model: A Brief Overview
The "endowment" model of investing, often simply referred to as the "Yale" model, after Yale's legendary Chief Investment Officer, David Swenson, who literally wrote the book on multi-asset class investing and is widely credited for Yale's incredible long term investment performance. Many articles, case studies, and academic papers have been written about Yale's extraordinary … [Read more...] about The Endowment Model: A Brief Overview