Managing Opportunities and Risk
Deep expertise built on decades of experience
Our approach to endowment management employs a mix of internal and external investment management teams that focus on specific investment areas. We believe this gives us the best of both worlds – top-quality investment management by our internal team and access to cutting edge capability from specialized teams around the world through our externally managed portfolio. We are not compelled to manage internally or externally in any particular proportion. Rather, we use the combination of internal and external managers that best represents our conviction regarding opportunities and gives us access to the best possible strategies.
The benefits of the hybrid model are many:
- Harvard’s partnerships with investment management teams around the world provide diversification, insight, and perspective that goes beyond the reach of our team in Boston.
- Our internal investment management team, currently responsible for investing approximately a third of the portfolio, serves as our eyes and ears on the markets - constantly attuned and responsive to changing conditions, and frequently ahead of the curve in recognizing market inefficiencies and ways that we might profit from them.
- In addition to this close feel for the markets, our internal management team gives us increased control, cost effectiveness, and transparency in the face of changing market conditions.
