Cambridge Student Investment Fund (CAMSIF)’s Post

'Daniel, who died at age 93, oversaw astonishing growth of the school’s endowment as chairman of the fund’s board. Under his leadership, the university built up a kind of in-house hedge fund, Harvard Management Co., or HMC. From Boston’s Federal Reserve building, with sweeping views of the harbor, HMC pioneered a strategy of long-term investments in then-exotic fare for endowments such as private equity and hedge funds. “HMC became regarded as one of the premier investment management firms in the world,” Jonathon Jacobson, a former Harvard manager who left to start his own hedge fund, said at Daniel’s February memorial. No more. Over the past 20 years, the 8.8% annualized return for Harvard’s endowment ranked seventh of the eight Ivy League universities and, according to the National Association of College and University Business Officers, lagged 60% of university funds with more than $5 billion under management. Harvard’s 10-year return trailed 80%. Former Harvard President Lawrence Summers complained to the Harvard Crimson student newspaper that if the endowment had merely grown as much as its average peer over the past two decades, the university would have about $20 billion more. That sum is almost the size of the University of Pennsylvania’s entire endowment. (Summers, a Harvard professor and former US Treasury secretary, is a paid contributor to Bloomberg TV.) Harvard didn’t scrimp on compensation for ­investment talent. Over the past two decades, HMC tax filings show the endowment paid its top investment managers and executives a total of about $800 million—enough to cover the school’s undergraduate financial aid budget for more than three years. (The endowment hasn’t disclosed pay for the most recent year.) At $50.7 billion, as of June 2023, Harvard’s endowment remains the biggest in higher education, but it may not for long; the University of Texas system, turbocharged by oil revenue, could surpass it.' #Harvard #privateequity #hedgefunds #highereducation #endowments

Yale University launches a new initiative to support aspiring fund managers. The program offers mentorship, resources, and investment opportunities to help talent succeed in finance. https://zurl.co/fO0p #Investments #FundManagers #YaleUniversity

Yale University launches a new initiative to support aspiring fund managers. The program offers mentorship, resources, and investment opportunities to help talent succeed in finance. https://zurl.co/fO0p #Investments #FundManagers #YaleUniversity

Use Code: MONSOON24 72% off on Udemy| NISM XIX C Alternative Investment Fund Managers Mock Test Exam Preparation Online Mock Test with 1500+ Question Key highlights: 1500+ Questions for Practice Comprehensive Coverage of Exam Topics Detail Answer Explanations Assess Your Preparedness Prepare Effectively for the NISM Series XIX-C Exam https://lnkd.in/dxa7jb5Z

📈We are thrilled to announce the first official reporting of the NYU Schack REIT Investment Fund! 🚀 Some comments from our Portfolio Manager Anton Pick: “Since our inception nearly a year ago, and just seven months after making our first investment, our portfolio's performance showcases the success of our investment and portfolio strategy. We have been navigating some troubled waters for real estate and REITs in particular. Volatility is at its highest, and the fluctuation of interest rates has been hard to predict for everyone. ‘Prudence’ and ‘diversification’ have been the two keywords of our strategy. The fund is divided into three strategies: Core strategy: Focusing on larger cap REITs’ common equity, benchmarking the Nareit with an under/over weight strategy based on our house view on the sector, crafted with our Econ Team. Fixed Income strategy: Focusing on preferred equity and bond instruments, where we secured high yields (near 9%) and anticipate strong capital gains once interest rates come down (inverse relation between bond prices and interest rates). Opportunistic strategy: Targeting smaller cap REITs with high growth potential and other alternative strategies. A significant portion of the portfolio is kept in what we call Cash, with an active cash management strategy, investing in money market instruments and REITs ETFs to balance risk and performance. With a total return of 6.64%, we have officially outperformed our benchmark, the Nareit FNAR (All REITs) Index. Our overall fund is producing alpha above 1%, and the Core Fund returns are showing a 3% alpha for YTD and Q1, which is outstanding for a student-led, long-only fund. A huge thanks and congratulations to the entire team for making this fund a reality and a success.”

David Swensen: The Chief Investment Officer Mastermind Behind Yale’s $31 Billion Endowment: Advocate for Low-Cost Index Funds David Swensen, legendary chief investment officer of Yale University’s endowment, is renowned for his innovative approach to institutional investing. But when it came to individual investors, Swensen was refreshingly simple and straightforward. He believed that the best investment strategy for most people wasn’t in chasing high returns with active management, but rather in using low-cost index funds as the core of their portfolios. In this blog, we’ll explore Swensen’s rationale for why low-cost index funds are a winning strategy, how they compare to actively managed funds, and how you can apply his principles to your own investments. https://lnkd.in/e-WAWAmF

CFA or CAIA: does it matter? 🤔 The debate around the best qualification for investment professionals is one that will likely never end — and perhaps, it shouldn’t. As markets, technologies, and asset classes evolve, so do the skills required to navigate the investment landscape. Over the years, I’ve had numerous conversations with colleagues and peers, especially those just starting out, about how which qualifications are most helpful. As a fund selector, I’ve also discussed the value of these qualifications when analyzing fund management teams. Having spent a fair bit of time on both the CAIA (Chartered Alternative Investment Analyst) and CFA (Chartered Financial Analyst) programs, and with the benefit of a few years time to reflecting, here's my perspective: 🌟 CAIA: I truly appreciate the depth CAIA provides, especially in understanding alternative investments specifically from the perspective of institutional investors. The program takes the often-overlooked art and science of fund selection seriously, which I have certainly appreciated in my career analyzing alternative investment funds and advising clients. 🌟 CFA: On the other hand, the CFA program’s strength lies in its broad approach. It provides a solid knowledge-base across a wide range of topics that an investment professional is likely to encounter. I found this particularly valuable early in my career, filling gaps in my knowledge and giving me a deeper understanding of the industry. That said, the CFA program may not be as essential for those with advanced finance degrees and practical experience — in such cases, the incremental benefit might not justify the commitment required. Which one to choose❓ ➡️ If you’re focused on a career in managing alternative investments portfolios, fund selection, or advising clients in this space, CAIA is a fantastic choice. ➡️ If you’re early in your career and still exploring your path, especially without a finance background, the CFA program offers a solid, comprehensive foundation. It is also something of an industry benchmark and known for being demanding: if nothing else, it serves as a proof of dedication and commitment. 🌟When it comes to selecting funds: I don’t look for specific qualifications in the investment teams of target funds/GPs. The key is expertise in the specific area of focus. In many strategies, this expertise is so specialized that it's not something typically taught through a formal qualification. In other instances, an MBA or an accounting qualification may be more appropriate. For a medical practice roll-up strategy, a qualified physician with an MBA would be fantastic educational background. For a small cap infrastructure fund, a qualified engineer with CFA designation would be a better fit. ➡️ At the end of the day, credible experience will always trump a qualification, but additional knowledge never harms. In my case at least, I have found these qualifications very valuable

Morgan Business School students from the Investment Club have launched a new Student-Managed Investment Fund through the MSU Foundation with a goal of growing $120K in seed funding to $1 million. With the assistance of the University's Capital Markets Lab, these Accounting and Finance majors are being given the opportunity to manage and invest ‘real money’ while gaining real-world finance experience. Read more ➡️ https://lnkd.in/gVxMHvQk 🐻💵 #Finance #Investments #RealWorldExperience

Check out this week's post, where we examine the recent for-profit spin-off of the ACT, the unclear benefactors of college endowments, and preview our guest post from the incredible Kaitlin Dumont for next week! #Education #College