Heintzberger | Payne Advisors provides comprehensive consulting services for endowments and foundations, including:
- Modeling and development of investment strategies based on your objectives and spending needs.
- Implementation of the selected investment strategy and day-to-day asset management.
- Custodian selection.
- Monitoring of investment strategy against appropriate benchmarks and implementation of a Statement of Investment Policy.
- Quarterly performance reports for the investment strategy and each sub-account.
- Periodic review with appropriate strategy revisions.
- On-demand review of portfolio performance, strategy fit, or general financial planning issues, in person, through Heintzberger | Payne Advisors' website, and with printed reports.
Investment Policy Design/Review
A Statement of Investment Policy ("SIP") is developed and adopted by each client reflecting the risk parameters, investment objectives, and performance benchmarks appropriate to the client's circumstances. The SIP further defines the asset allocation parameters of appropriate investment strategies, i.e., target, minimum and maximum exposures for various asset classes. The SIP then drives Heintzberger | Payne Advisors' investment research efforts to identify investment alternatives by dictating minimum performance criteria and establishing measurable benchmarks that each option must meet for it to be considered, and to remain, as an investment alternative. These criteria and benchmarks (both quantitative and qualitative) comprise the filters Heintzberger | Payne Advisors employs to narrow the universe of potential investment options.
A SIP must clearly express the investment objectives of the portfolio. What amount of return is the portfolio expected to yield? Over what period of time? How much investment risk will be tolerated? Are some types of investments not acceptable for purchase? Are there minimum and maximum exposures to various assets classes? What are the benchmarks against which investment performance will be measured?
Selecting an appropriate asset mix is one of the most important decisions an endowment or foundation can make. Choosing between various classes of stocks, bonds, and other assets begins with understanding of the return, volatility, and correlation characteristics of each investment.
Applying re-sampled mean-variance optimization, Heintzberger | Payne Advisors develops a range of model portfolios that may be used to meet the client's investment objectives. These model portfolios are supported by additional analyses that provide historical support to the decision-making process.
In addition to developing a long-term strategic asset allocation, Heintzberger | Payne Advisors provides day-to-day tactical investment support. By allowing asset class exposures to vary within investment policy guidelines, an institutional portfolio can remain true to its investment objectives during changing market conditions.
In addition to traditional stocks and bonds, investable asset classes may include categories such as private equity, absolute return or directional hedge funds, real estate, commodities, emerging market stock and bonds, inflation-linked bonds, etc.
Re-sampled mean-variance optimization addresses the uncertainty implicit in forward-looking estimates of return and risk by optimizing over many sets of asset class inputs.
–Best Practices for Committees Workshop
This training session for trustees details the best practices for committee structure, including how best to formally document all processes for the file, historical information and archival procedures, and documentation for all decisions made regarding the portfolio.
–Annual Year-end Compliance Update
In addition to sending alerts to our clients regarding any legal or regulatory changes that might impact the portfolio, a year-end update is compiled that lists all changes made to the portfolio.
Heintzberger | Payne Advisors has established a formal Investment Committee. Each member of the committee has various responsibilities including, but not limited to: investment manager research, economic research, and asset allocation methodologies. In addition, members provide insight, research, and supplementary input for the "quarterly commentary" authored by the firm's Chief Investment Officer.