CA Capital Management, Cambridge Associates’ dedicated outsourced chief investment officer (OCIO) business, is the UNCG Investment Fund’s OCIO. Cambridge Associates is one of the largest endowment management firms in the U.S. with a network of 200+ college and university clients. CA Capital manages the Fund on a day-to-day basis, while the Vice Chancellor of Finance & Administration, Treasurer, and Board of Directors of the Fund work closely with CA Capital and maintain high-level oversight of the Fund.
The primary objective of the Fund is to preserve and enhance its real (inflation-adjusted) purchasing power while providing a relatively predictable, stable, and constant (in real terms) stream of earnings for current use. Over the long-term, we seek to generate real returns at or above 5.0%.
To accomplish this goal, the Fund is invested primarily in Capital Appreciation (equity-related) investments, both in public and private markets. In addition, the Fund holds a set of volatility / risk reducing strategies: deflation hedging, inflation sensitive, and diversifiers. The current long-term target allocation to each of these strategies (the “Policy Portfolio”) is presented in the following table.
• Investment Policy Statement →
|Portfolio Role||Policy Targets||Allowable Range|
|Capital Appreciation||70%||40 - 80 %|
|Public Equities||47%||30 - 55 %|
|Private Equity||33%||0 - 40 %|
|Diversifying Strategies||15%||10 - 30 %|
|Deflation Hedging||15%||5 - 25 %|
|Cash||0%||0 - 10 %|