Endowments & Foundations: The Value of an Experienced, Accountable Fiduciary Partner

August 21, 2020

During these turbulent times, it has never been more important if you are a nonprofit board or investment committee member to partner with an experienced investment advisor with a long history of working with endowments and foundations through many different environments. Today’s challenges are many, including the uncertainty associated with a global pandemic, historically low interest rates, low expected future returns driven by stretched valuations across most asset classes, increased competition for fundraising, and increased regulations, to name only a few.

Litman Gregory has been working with nonprofits for over 30 years, and we have helped our clients in a wide range of areas from educating boards on investment industry best practices, to investment policy creation/modification, to assisting with fundraising and engaging current and prospective donors. With five offices around the San Francisco Bay Area and clients that span across the United States, our network of relationships is broad and our experience deep.

We are helping our institutional clients successfully navigate the issues facing them by:

  • Ensuring strong governance
  • Sharing investment committee best practices
  • Evaluating or determining appropriate spending rates
  • Reaffirming the appropriate risk and return profile for their institutions
  • Creating or reaffirming investment policy statements
  • Exploring the appropriate balance between active and passive vehicles
  • Evaluating the role of alternative investments
  • Understanding their organizations’ liquidity profile
  • Integrating environmental, social, and governance (ESG) investment principles into portfolios
  • And aligning investment portfolios with their institutions’ mission

Our experience, accountability, disciplined process, and client focus distinguish Litman Gregory from our peers:

Investment Experience and Risk Management. With a 30-year track record of strong risk-adjusted performance, our fundamentally driven investment approach seeks to balance our long-term outlook—and our clients’ unique goals—within a defined level of risk for each portfolio.

Advice with Accountability. As a fiduciary partner, we take ownership of our clients’ goals as we help them navigate complex and volatile markets, balancing capital preservation with long-term growth, to help them meet their institutions’ financial objectives.

Disciplined Investment Process. We have made a significant commitment to independent research. Our in-house research team includes dedicated asset class and manager-selection research analysts. Further, we continue to integrate sustainable investing criteria into our investment framework, as we believe it makes us better stewards of our clients’ assets, improves risk management, and can increase returns.

Client Focus and Service. Our relationship-driven service model ensures proactive attention and clear communication. Litman Gregory provides the objectivity of an independent investment consultant with the agility and accountability of a discretionary Outsourced Chief Investment Officer (OCIO).

Board and investment committee members play an integral role within an organization. Our team supports the work you’re doing by offering education and financial guidance beyond our core services with the goal of helping to advance your organization’s mission. We look forward to the opportunity to discuss the unique challenges that your institution faces today and how we can help.

Please contact us to learn more about our services for endowments and foundations.

bill.thompson@lgam.com | 415.461.8999