money managers might want to find religion.
Church pension funds and other religious-based institutions such as hospitals and universities are "hungry" for information in order to increase their alternative investments, said Robert Bailey, managing director of the Investment Management Institute, New York.
Such institutions aren't in a small congregation. IMI estimated that total assets among organized Protestant, Catholic and Jewish institutions in the United States are roughly $3 trillion.
An IMI survey of faith-based institutions released last month showed 10% plan to increase their exposure to private equity, while 9% will add to hedge fund investments and 8% plan to boost venture capital allocations.
"The opportunity for managers and consultants is going to be in helping educate," faith-based institutions, Mr. Bailey said. "That overall is going to be one of the most fascinating areas to work in, and profitable as well. I think the investment is going to follow the education."
About 64% of respondents were church pensions and religious organizations. Educational and health care institutions represented 24% and 12%, respectively. Roughly 20% of respondents represented institutions of $1 billion or more, with the majority of the assets characterized as retirement funds.
