Regents of the University of California

Generated outreach message alignment report
1. You explicitly favor concentrated, high-conviction portfolios over broad diversification.
Our small-AUM, best-ideas strategy is deliberately concentrated and high-conviction, aligning with your stated preference to focus on fewer positions you know deeply.
Evidence
“Experience has shown us the value of lean, high-performance teams working collaboratively to manage a concentrated, high-conviction portfolio.” “By limiting the number of investments in our portfolios, we believe we can reduce risk and increase returns.”
2. Your public equity program is benchmarked globally (MSCI ACWI IMI) with tobacco/fossil-fuel exclusions, and you’ve added specialist international managers (e.g., a dedicated India manager).
We run a global mandate with emerging markets expertise and can manage to ACWI-style benchmarks with fossil/tobacco exclusions—including country specialists like India—within a concentrated, liquid portfolio.
Evidence
“MSCI All Country World Index (ACWI) Investable Market Index (IMI) Tobacco and Fossil Fuel Free – Net Dividends” “We reduced the growth-style tilt in the endowment at the beginning of the fiscal year and added a U.S. small cap manager and a second dedicated India manager.” “Public Equity Includes publicly traded common stock of issuers domiciled in U.S., Non-U.S., and Emerging Markets.”
3. You require ESG exclusions (tobacco and fossil fuels) and expect managers to comply with these guidelines.
Our process can implement tobacco/fossil-fuel exclusions at the mandate level, ensuring benchmark alignment and policy compliance without diluting our high-conviction approach.
Evidence
“Tobacco and Fossil Fuel Free – Net Dividends” “The purchase of securities issued by tobacco and fossil fuel companies and companies with business operations in Sudan are prohibited in separately managed accounts.”
4. You’ve drastically reduced the number of external managers and keep only a small, long-tenured active sleeve in public equities.
As a focused, owner-managed shop with capacity discipline, we aim to be one of a few high-conviction partners in that selective active bucket.
Evidence
“We reduced the number of key partnerships from 280 in 2014 to 28 today.” “As of June 30, 2024, UC Investments held some $108 billion in global public equities, 90% invested in passive indices and 10% with active managers, most of whom have been with us for many years.”
5. You demand full transparency, alignment and clear, straightforward fees from external partners.
We provide position-level transparency, clear fee terms, and direct access to decision-makers—matching your emphasis on trust, alignment, and fee clarity.
Evidence
“From our partners, we demand transparency into the assets we hold…” “If external managers won’t provide us with a detailed accounting of how they make their money from our money, we pull our capital and walk.” “Perfect alignment means win-win — in performance, collaboration, and goals…”
6. You prioritize liquidity to be patient and opportunistic in public markets, and value daily-priced, easy-to-understand holdings.
Our liquid, high-conviction global equity approach offers transparent, benchmark-aware exposure that can be scaled and rebalanced quickly during market stress.
Evidence
“We’ve been strategically underweighted to private assets, unlike many peers. That gives us a critical advantage: liquidity.” “It lets us be patient and opportunistic—especially during market stress.” “Its holdings are clear, priced daily, and easy to understand.”
7. Your performance evaluation is long-term (5–10+ years), with emphasis on net-of-fee results versus policy benchmarks.
We have a long, audited track record and frame results net of fees against global equity benchmarks—aligned to your multi-year evaluation cadence.
Evidence
“While short-term results will be monitored, it is understood that GEP’s objectives are long-term in nature and progress towards these objectives will be evaluated from a long-term perspective.” “to meet or exceed a custom total fund benchmark… net of fees, over a full market cycle of five to ten years.” “15 Year Net Returns”
8. You maintain explicit emerging markets allocations and have shown recent appetite for India-focused stock picking.
Our team has deep EM capability, including India, and can provide high-conviction EM exposure within your policy ranges and ESG screens.
Evidence
“Emerging market equity 7.0 8.5” “UC Emerging Markets Fund MSCI Emerging Markets IMI ex Fossil Fuels ex Tobacco” “…added a U.S. small cap manager and a second dedicated India manager.”