The Art Institute of Chicago will undertake an asset allocation study of its $650 million in endowment and pension assets, according to an Art Institute news release. Cambridge Associates, recently hired as the institute’s consultant, will conduct the study and a review of investment policies and fund managers. Cambridge replaced Kennedy Capital Advisors, the institute’s consultant for more than 20 years.
In December, the Art Institute filed a lawsuit against hedge fund manager Integral Investment Management, claiming it lost at least half of its $43 million investment with the firm, including 90% of $23 million in one of two Integral funds. Integral denies it did anything improper. Working with Kennedy, the institute had put close to 60% of its total assets in hedge funds, including 6% of assets with Integral.
