Investment Consulting work for Endowments and Foundations and Pension Plans




Many tax-exempt organizations require both investment management advice and non-investment counsel in order to achieve their philanthropic mission. Endowments and Foundations must carefully balance their investment strategies with their spending policies.  Defined benefit pensions face continuous scrutiny of their investment programs.


Additionally, institutional investors are gearing up to integrate hedge funds into their equity and fixed-income portfolios, part of a growing trend toward allocating assets based on their sources of return — alpha and beta.


After years of maintaining separate and usually quite small allocations to hedge funds, more investors are recasting the role of hedge funds in their portfolios. The driver behind the shift was last year's market crash. Sources said Institutional investors were surprised by the revelation that the total market exposure — known as beta — of their separate equity, fixed income and hedge fund allocations was larger than thought. Further, specialist hedge fund consultants and hedge fund-of-funds managers are taking full advantage of better hedge fund transparency.


The time is ripe for the fund managers for the more sophisticated higher education institutions to participate in the hedge fund investments to supplement their existing portfolios


At Madisan Mackenzie, we help these Endowments, Foundations and Pension Plans to navigate these investment issues and to establish a customized strategy that serves their particular needs and situation. Our significant public-sector experience enables our team to offer sound independent and unbiased guidance to the clients — guidance with an emphasis on safety and investment efficiency. Our approach is designed to achieve higher investment returns and reduced volatility when compared to similar funds.  Our understanding and broad access to hedge funds and Private Equity can enhance overall performance.

In partnership with our clients, our primary objective is to reduce risk and improve investment efficiency wherever possible.  Also, we focus on controlling all cost drivers to facilitate long-term growth. The world of finance has never been more complicated nor subject to more regulation. We counsel higher education clients on endowment funding, develop adequate endowment spending rates and strategies, management documentation for endowment funds, and the purchase and sale of proprietary assets and strategy assets.  We also determined how to integrate your endowment spending with the long-term goals of the institution. For other tax-exempt organizations, we can develop alternative plan designs, measure sensitivities to changes in investment performance and lower the cost of plan administration.



If you think Madisan Mackenzie is like every other management consultant firm, think again. Our consultants take a personal approach that starts with a face-to-face meeting with you to discuss your business financial goals. We believe that building long-term relationships with our nearly clients is key to serving their financial needs, because that's the best way to get to know you and to help you reach your business goals.