KNOWLEDGE CENTER

Knowledge Center Archive

Feb
15
2012

Quick Poll: The Top 10 Investment Priorities for Nonprofits in 2012

An SEI quick poll of 150 nonprofit executives reveals a significant focus on risk management for 2012. While aligning asset allocation decisions with organizational finance decisions remains the number one focus, several of this year's top 10 priorities were related to risk management and volatility management, including:

  • Asset allocation changes focused on downside risk
  • Attempting to decrease volatility through diversification
  • Evaluating potential market changes through simulation tools
  • Aiming to exploit shorter-term market inefficiencies
  • Adding an allocation to inflation protection strategies

A notable trend: almost half of poll participants said their organization would consider outsourcing the investment management of endowment assets to a fiduciary manager or outsourced CIO.

Quick Poll Results: Top 10 Nonprofit Priorities in 2012 (PDF)

Focus on Higher Education

U.S. college and university participants responded to additional questions focused on spending percentages and credit ratings.

SEI Can Help

Limited resources and time constraints have led many nonprofit organizations to outsource a portion of their portfolio to a third party fiduciary partner. Outsourcing allows the investment committee to focus its time and attention on more strategic investment and organizational finance decisions.

See how SEI can help your organization manage its priorities with a solution for: