Princeton University - Message Points

1. You actively hire external managers and value deep, constructive partnerships with them.

As an entrepreneurial, owner-managed, high-conviction manager, we fit your preference for engaged relationships with specialist external managers.

Evidence

“Much of Princo’s success reflects its ability to select and gain access to top-tier managers, as well as engage with them constructively.” “staff has been given authority to select and terminate external managers, and to shift assets to focus the portfolio on the most promising sectors.”

2. You maintain a large allocation to ‘Independent Return’ strategies, seeking low-correlation, flexible mandates.

Our concentrated, low-correlation strategy (with the ability to use long/short and derivatives where appropriate) aligns with your Independent Return sleeve and its liquidity terms.

Evidence

“22.8% Independent Return” “(c) Independent Return: This asset class includes funds invested in equity and debt securities and financial instruments such as options, swaps, futures, and other derivatives. Funds in this asset class may hold both long and short positions... and pursue a variety of investment strategies such as long/short equity investments and event-driven/arbitrage...”

3. You have explicit global and emerging markets allocations and aim to strengthen international investing.

Our global mandate and EM capability can complement your Developed and Emerging Markets exposures with high-conviction, best-ideas positioning.

Evidence

“We will seek to develop strength in international investment arenas that rivals that which we have domestically.” “Developed markets $ 4,293.8 ... Emerging markets 2,681.3 ...” “7.5% Emerging Markets”

4. You are adding new investing teams and lean into independent/boutique managers and niche opportunities.

As a smaller, entrepreneurial manager running a concentrated, off-the-beaten-path portfolio, we match your openness to emerging teams and capacity-constrained specialists.

Evidence

“Focus on New Investing Teams Subhead With a change of strategy, Princo adds diversity to its portfolio managers” “Princeton is considered a highly desirable client and is given access to the very best independent managers, often even when they are turning away other clients.” “highly attractive opportunities that often occur far from the beaten path.”

5. You favor unconstrained, flexible mandates and can capitalize on a long horizon and low liquidity needs.

Our high-conviction, unconstrained approach across geographies and capital structures suits your flexibility and long-term orientation.

Evidence

“We will seek to capitalize on our natural advantages including our long horizon, low liquidity needs, and singularity of interests.” “many funds and accounts have contractual flexibility to invest across more than one asset class”

6. You expect managers to support your net‑zero path and observe fossil-fuel restrictions (coal and tar sands).

We can measure and report portfolio emissions and align with your exclusions while pursuing attractive, global opportunities.

Evidence

“will work methodically and deliberately with our investment partners, year-by-year, on progress toward measurement and implementation of that goal.” “The Trustee-mandated decision to divest from thermal coal and tar sands companies remains in effect.” “Princo’s president also announced the University will aim for a net-zero endowment portfolio by 2046”

7. You emphasize valuation transparency, redemption terms, and price transparency in manager due diligence.

Our liquid, transparent portfolio and institutional reporting align with your diligence focus on fair value processes and liquidity terms.

Evidence

“performs due diligence procedures on its investments, including an assessment of applicable accounting policies, a review of the valuation procedures employed, and consideration of redemption features and price transparency.”

8. You maintain an equity-biased program and demand real returns above spending and inflation.

Our concentrated, best-ideas equity approach is designed to generate excess returns that contribute meaningfully to real-return targets.

Evidence

“In pursuit of the investment return objectives, PRINCO maintains an equity-biased portfolio and seeks to partner with best-in-class investment management firms across diverse asset categories.” “Endowment assets are invested in a manner intended to produce returns that exceed both the annual rate of spending and university inflation.”