Having spent more than 20 years providing institutional consulting and asset management services to endowments, foundations, non-profits, municipalities, and other corporate defined benefit plans, our advisors know that every institution requires customized solutions because every institution has its own unique mission. At TrinityPoint Wealth, we make it our business to understand yours.
What are your goals, values, and guiding principles? How do you make investment decisions? Are there any ethical or philosophical considerations? These are just a few of the questions we ask in order to gain a clear understanding of your organization’s particular needs and how to best meet them.
By working with your trustees, directors, and investment committee members, we will function as your outsourced CIO and fiduciary, customizing investment solutions and providing discretionary or non-discretionary management and fiduciary oversight.
You can count on us to never lose sight of your vision or purpose.
Using our deep expertise and access to resources, research services, and a full range of investment vehicles, we’ll do everything we can to help your institution achieve its mission, now and in the years to come.
Investment Policy Statements
What is your institution’s spending policy? How are investment benchmarks selected? What are your allowable risk levels?
All of this is spelled out in the Investment Policy Statement. The IPS is the who, what and why of how a board selects suitable investments, providing the framework for a cohesive investment program.
Too often, we see spending rates (the amount the institution withdraws annually) that are not sustainable over the long term. We also see benchmarks that are not appropriate comparisons. For example, it is unreasonable to compare a portfolio consisting of 50% equities, 40% fixed income and 10% cash equivalents to a benchmark index consisting of 100% equities, such as the S&P 500. As institutional advisors and fiduciaries, we use appropriate blended benchmarks. The IPS serves as the roadmap, defining everything from your institution’s investment objectives, risk tolerance levels and allowable investments to performance benchmarks, guidelines for investment manager selection and target asset allocation.
We act as an outsourced chief investment officer (OCIO) for foundations and endowments. The OCIO oversees a documented fiduciary process including the management of a diversified portfolio with multiple asset classes, undertaking due diligence on managers, managing risk and quarterly performance reporting. The outsourcing of these functions allows for boards to focus more closely on policy and goals. In this way, TrinityPoint Wealth can take the day to day investment management burden off of the board and be a key component in ensuring the funds of your organization are available for achieving your mission and goals.
Our Asset Allocation Services
Determining an optimal asset allocation is one of your board’s most important decisions, as it is arguably the key driver of your long-term investment return and the ability to meet the purpose for which the funds are invested. Too often, however, we see a static 60% equity/40% fixed income allocation with no consideration given to changing economic conditions or market valuations.
Given that certain market conditions necessitate a more aggressive strategy, while other situations require a more defensive approach, we seek to craft a strategy that is both flexible and appropriate for the desired level of risk and time horizon for any planned distributions from the invested funds.
We will also provide stress testing of your asset allocation using computer generated models to help identify potential trouble spots that may warrant a shift in strategy to maintain an appropriate level of risk versus potential return.
Manager Selection & Due Diligence
Our institutional investment team manages the process for selecting the appropriate mutual fund, exchange traded fund or Separate Managed Account (SMA). We use an independent screening process that measures various criteria to select the appropriate investment ingredients. Only fund managers whose investment processes align with your objectives and who have a proven track record are considered. Candidates are thoroughly researched and interviewed, and subject to a comprehensive due diligence process to verify information.
Plan Committee Meetings
The input and feedback we receive from your committee will be paramount in ensuring we are pursuing the best course of action to meet your goals. As part of your regularly scheduled Investment committee meetings, we will review your portfolio and investment policy statement making sure they are aligned. Our discussion will include a general overview of current economic and market conditions as well as future outlook and how this information influences are portfolio management decisions and investment selection. Our reporting will include both absolute and relative performance statistics.
Performance Reporting & Monitoring
We will evaluate how your portfolio is doing relative to its benchmarks and similar size plans.
We utilize a robust reporting system to monitor your plan. From a portfolio overview to the performance of a specific fund and manager, we are able to assess your plan’s results in both absolute and relative terms.
Are your fees in line with other plans? Which services cost extra and what are those charges? How much are you paying in fees overall, including investment advising and portfolio management?
We believe that every board should be fully aware of what they are paying for and why. We also believe in full transparency and disclosure of fees. Every year we will benchmark your plan against other similar plans, so you can compare the fees you pay with the services and value you receive.