Trends
Non-U.S. and global equity saw greater interest than domestic strategies during the fourth quarter, according to FIN Searches hiring data.
Higher education endowments’ average investment return was down sharply in the 2022 fiscal year ending June 30 reflecting a sudden entry into the long-anticipated low-return environment, according to a recent study.
U.S. colleges and universities’ adherence to ESG principles is growing as institutions have increased their commitment to ESG in their investments policies and portfolios, while others are considering incorporating policies, according to a recent study.
Institutional investor engagement in sustainable and impact investing has experienced 80% growth since 2018, new research finds.
As nonprofit investors expect market volatility to continue, with the possibility of an economic recession on the horizon, many are seeking early-stage private equity, private debt, real estate, infrastructure or hedge fund strategies to capitalize on macro trends that include a slowdown in economic growth, rising inflation, emerging technologies and demographic trends.
Following a year where the majority of asset class returns were in the red with the exception of commodities and cash, the market outlook for nonprofit investors remains murky as institutions expect continued market volatility and slower economic growth.
Main problems commonly cited by institutions were underperformance and outcomes that differ from the intended result, according to the report.
Institutions have begun to reevaluate their investment in the world’s second largest economy as they weigh a multitude of factors related to either increasing or reducing their exposure, including geopolitics, diversification and market uncertainties.
Institutional investors indicated that rising rates and a recession will increase the importance of fixed-income within portfolios after years of low yields.
Institutional investor incorporation of ESG into investment decision-making processes was down year-over-year, however, foundations and endowments integrated ESG at the highest rate, according to a recent survey.
