Brown University

Generated outreach message alignment report
1. You actively seek Absolute Return managers that deliver low-correlation, lower-volatility return streams and have been retooling that sleeve to avoid excessive correlation.
Our hedge fund runs a concentrated, hedged long/short global equity strategy with a demonstrably low correlation profile, designed to be an ‘engine of return’ independent of broad markets.
Evidence
“Absolute Return Strategies: The endowment’s allocation to absolute return strategies is the product of an ongoing search for engines of return that have a low correlation to each other and to the market overall.” “without the successful achievement of lower correlation and lower volatility, the strategy is not serving its fundamental purpose.” “a difficult period in 2022 revealed higher correlations and therefore higher implied risk than Brown’s portfolio can comfortably tolerate.”
2. You entrust the vast majority of capital to external, active managers with a clear competitive advantage in less efficient markets—and value ability and integrity in long-term partnerships.
We are an owner-managed boutique focused on inefficient global/EM niches, with a high-conviction process and a long, audited track record of net-of-fee alpha grounded in a clear edge and alignment.
Evidence
“The vast majority of the endowment’s capital is entrusted to external investment managers...” “Brown’s use of active managers is predicated on the existence of strategies that can add value, net of fees and expenses, in markets that are less than perfectly efficient.” “Partner over the long term with investment managers of exceptional ability and high character.”
3. You balance diversification with the benefits of concentrating capital in the most attractive ideas and explicitly ‘strive to concentrate in best opportunities.’
Our strategy is a concentrated best-ideas portfolio, built to complement a diversified endowment by delivering differentiated alpha from high-conviction positions.
Evidence
“The primary concern is diversification, which is balanced against the benefits of concentrating the endowment’s capital in the most attractive investment opportunities.” “We endeavor to partner with world-class managers and strive to concentrate in our best investment opportunities.”
4. Your opportunity set and benchmarks are global (MSCI ACWI/Global Aggregate), with purposeful exposure to International Developed and a modest allocation to Emerging Markets—including country-specific specialists.
We run a global mandate with dedicated EM capability and local networks (e.g., Asia/EMEA), offering targeted country and thematic exposures aligned to your global/EM framework.
Evidence
“The most relevant benchmark for comparison is a blend of global stock and bond indexes in a 70/30 mix... 70% stocks from the MSCI All Country World Index, and 30% bonds from the Bloomberg Global Aggregate Index.” “The endowment’s opportunity set is global, and the Public Equity portfolio is split approximately evenly between U.S. markets and International Developed Markets, with a smaller allocation to Emerging Markets.” “Brown’s diverse set of strategies includes... several country-specific strategies in places like Korea, India, Spain and others that require local knowledge and relationships.”
5. You evaluate managers over multi-year/decade horizons and form long-term partnerships after holistic diligence.
We are an entrepreneurial, owner-led firm with a long, cycle-tested track record and stable team—built for durable, through-the-cycle compounding and alignment.
Evidence
“The investment strategy employed by the endowment is intended to deliver results that are measured in decades, not single years.” “Each manager relationship is a long-term business partnership, entered into after careful and holistic diligence.”
6. You value specialist, capacity-constrained managers and note concerns about ‘behemoth’ funds’ market impact.
As a small-AUM, specialist manager, we can pursue limited-capacity opportunities with minimal market impact and better alignment—precisely the niche you prioritize.
Evidence
“The mission and values of the University make the endowment an attractive partner... conferring admittance to investment opportunities of limited capacity.” “the emergence of behemoth funds taking large market share and arguably impacting the behavior of stocks with the scale of their purchases and sales.” “Because of Brown’s mission of scholarship and research, and because of the advantage conferred by the University’s long investment horizon, Brown is privileged to have access to many of the best specialist investment managers in the world.”
7. You rigorously integrate ESG—explicitly fossil-fuel free—and expect managers to evidence policies, reporting, and alignment.
Our process embeds ESG risk management and reporting; we are fossil-fuel free and can document policy, metrics, and engagement outcomes to match your standards.
Evidence
“Brown incorporates environmental, social and governance (ESG) considerations into investment selection...” “Fossil-fuel free The fund shall not be invested in companies engaged in the extraction, exploration, production, manufacturing or refining of fossil fuels.” “halt University investments in fossil fuel extraction companies”