Rutgers - Message Points

1. You actively allocate to hedge funds as diversifiers (long/short equity, global macro, multi-strategy, credit) and accept quarterly/semi-annual liquidity.

We run a concentrated, high-conviction global long/short strategy with a low-correlation profile and standard quarterly liquidity—built to serve as a diversifying sleeve alongside your existing hedge fund roster.

Evidence

“In addition to traditional stocks and fixed -income securities, the University also holds alternative investment funds including hedge fund, private equity, venture capital, real estate and real asset strategies.” “Long/Short Hedge Funds 114,102 N/A Quarterly, Annually 45 - 60 days” “Multi-Strategy Hedge Funds – Multi-strategy hedge funds consist of a variety of investment strategies... in order to lower and diversify risk as well as reduce volatility.”

2. You have a dedicated and growing Emerging Markets allocation, including EM small-cap, and intentionally shifted toward higher-growth, less efficient markets.

Our global mandate includes deep EM expertise and the ability to concentrate in less efficient EM niches—aligned with your move to increase EM exposure and seek higher-growth markets.

Evidence

“Public Equities 30 - 50% Domestic 15 - 30% International Developed 5 - 15% Emerging Markets 0 - 10%” “l l o c a t i o n t o E m e r g i n g M a r k e t p u b l i c e q u i t y w a s s u b - 4 % , t o d a y i t i s 1 1 . 5 % .” “Emerging Markets Small-Cap Equity 1.50% 9.60%”

3. You actively seek and allocate to emerging/boutique managers and place high value on alignment and culture.

As an owner-managed, entrepreneurial firm with meaningful GP capital invested, small AUM, and a concentrated best-ideas approach, we fit your search for emerging, highly aligned managers.

Evidence

“o r e e f f e c t i v e l y d i v e r s i f y o u r e x i s t i n g p o r t f o l i o s , a n d a l l o c a t e c o n s i d e r a b l e t i m e a n d e f f o r t t o i d e n t i f y a n d u n c o v e r e m e r g i n g m a n a g e r s .” “we will continue our efforts in uncovering new opportunities and managers in and around these themes.” “CULTURE/REPUTATION: I n t e g r i t y , o p e n - m i n d e d n e s s , h u m i l i t y , a n d a l i g n m e n t m a t t e r ...”

4. Your return objective is inflation plus spending (CPI + ~5%) net of fees, with tolerance for interim volatility given an infinite time horizon.

Our long track record focuses on compounding real returns with controlled downside—built to meet CPI+ targets over full cycles while accepting short-term noise.

Evidence

“CPI + 4.95%” “The long-term objective is to achieve a total return averaging at least the spending policy plus inflation, net of fees and expenses.” “For this reason, the endowment can tolerate short- and intermediate-term volatility provided that long-term returns meet or exceed its investment objective.”

5. You prioritize portfolio-level diversification, low correlation, and explicit risk-mitigation allocations.

Our strategy targets low beta and idiosyncratic alpha streams across regions and sectors—designed to dampen volatility and improve the Endowment’s correlation profile.

Evidence

“The following variables related to risk should be considered in all aspects of the investment process: ... Correlation ...” “Risk Mitigation Strategies 3.00%) 7.10%)” “Multi-Strategy Hedge Funds ... in order to lower and diversify risk as well as reduce volatility.”

6. You favor flexibility over rigid asset-class ‘buckets’ and allow tactical over/underweights based on valuations, risks, and opportunities.

Our unconstrained global mandate can pivot across regions, styles, and capital structures—useful for playing offense in dislocations and expressing high-conviction views where inefficiencies are greatest.

Evidence

“E n h a n c i n g A s s e t A l l o c a t i o n S t r u c t u r e : T o a l l o w f o r g r e a t e r f l e x i b i l i t y , w e h a v e c h a n g e d t h e s t r u c t u r e o f o u r a s s e t a l l o c a t i o n .” “T h e s e c h a n g e s h e l p m i t i g a t e t h e n e e d t o f i l l “ b u c k e t s ” ...” “Allocations may differ from targets but within ranges ... decisions to over- or under-weight a sector based on valuations, risks, and opportunities.”

7. You have a formal fossil-fuel divestment policy and expect investment partners to align with it; you also seek competitive-return opportunities in renewables/efficiency.

We have minimal exposure to fossil-fuel extraction and can align our portfolio with your policy while pursuing high-conviction ideas in energy transition themes where we see attractive risk-adjusted returns.

Evidence

“NOW, THEREFORE, BE IT RESOLVED that ... Rutgers should divest from fossil fuel investments ...” “Cease all new investments in funds whose strategy is focused on fossil fuel investments;” “Because some commingled funds may hold minimal exposure to fossil fuels, emphasize the University’s stance ... to investment partners, urging them to review their own processes ...”